Optimal pricing is more than just picking a number and hoping for the best. Building pricing power requires a solid understanding of your market and a clear strategy. Just as importantly, pricing power requires a true understanding of your customers, and what they value. Optimal pricing is based on data, not guesswork.
Strategic pricing lets you stop pricing based on your competitors, so you can establish pricing leadership.
Pricing strategy can even be an area for innovation: think of how pricing has fueled the growth of software companies like Salesforce, Dropbox, and Slack—and how Starbucks has changed the world’s perception of the value of a cup of coffee.