Changes in consumer behavior and technological advancements are making traditional pricing strategies less effective. Forward-thinking companies are now leveraging new analytical tools, technologies, and the latest in behavioral research to implement a value-based pricing approach. And bold new strategies such as dynamic pricing are being tested in traditional industries.

If your organization hasn't revisited its pricing strategy recently -- and implemented a value-based approach -- you may be leaving money on the table and surrendering significant amounts of value, both to your company and the customers you serve.

In this program, you'll learn The Chicago Booth Approach to pricing—a customer-centric, value-based, analytical approach to making decisions. You'll gain proven frameworks and incorporate multiple disciplines such as marketing, data science & AI, behavioral science, and microeconomics to increase profitable growth. You'll emerge from the program with a path to monetizing your organization's opportunities in a way that benefits customers, ultimately promoting competitive advantage and significant growth.

By attending, you will:

• Learn how to combine data with the latest analytical tools—potentially transforming your firm's profitability and ability to compete in the marketplace
• Determine which data and methods to use to make pricing decisions and gain a deeper understanding of how pricing is intertwined with your business goals, customers, and market competition
• Learn how to launch new products at the right price
• Develop a customer-centric approach to pricing: aligning pricing with each consumer's perceived value and underlying willingness to pay
• Gain an understanding of how customers make purchasing and product valuation decisions by leveraging insights and research from the field of behavioral economics
• Acquire the frameworks to successfully implement a pricing strategy across your organization—even in companies with multiple brands or product lines.
   

WHY THIS PROGRAM?

This unique program combines a blend of faculty expertise, case studies, in-class exercises, and networking opportunities with peers around the globe.

• The program's renowned faculty have collaborated with companies such as Lyft and ZipRecruiter, and they've routinely brought The Chicago Booth Approach to the field by running pricing experiments with top organizations that have generated significant upside. You'll learn firsthand from these results.
  
• Hear from a prominent guest speaker who will share their experiences with creating customer value in a highly regulated and constrained industry.
• Network with other executives transforming pricing strategy for their firms, and learn collaboratively with them through case studies, a simulation, and group discussion

• Mid- to senior- executives involved in pricing, monetization, and revenue management decisions; functional areas include Marketing, Finance, Product Management, Sales, RevOps/Chief Revenue Officers, Business Development, Operations, Engineering, Analytics, Strategy, Data Science, and general management.
• Any industry—this program is applicable to a wide range of industries; case studies and examples in this program range from manufacturing, tech, and B2B to regulated industries, 2-sided marketplaces, and services.

Group Enrollment: This program is a good fit for groups of executives, as the course fosters a cross-functional approach to pricing and monetization.

Note: The London offering, taught independently by Professor Dubé, is a highly focused four-day offering focusing on pricing techniques, economic value to the customer, and customer lifetime value.

The Chicago offering is five days, taught by professors Dubé and Pope.

Economic Value to the Consumer

• Monetizing customer value: A scientific approach to ensure that pricing decisions monetize the commercial opportunity
• A framework to measure value and incorporate value into marketing decisions

Pricing Techniques

• Elasticity analysis, experimentation, conjoint analysis 
• Strategies in times of inflation
• Pricing in a competitive market
• Developing a customer-centric mindset
• Channel pricing
• Segmented pricing: personalized pricing and product line pricing

Behavioral Economics — the psychology of customer purchasing decisions

• Creating an ideal environment for purchases: choice architecture and nudging
• Present-biased preferences in the market
• Customer attention/inattention to prices
• Loss aversion and pricing
• What makes a price 'fair'?
  

Customer Lifetime Value 

• CLV analysis and pricing
• Customer capture and retention
• Metered pricing, nonlinear pricing, and volume discount
• System-based pricing strategies
  
  

note: curriculum subject to change

What participants say about Pricing for Profitability: Value Creation Strategies

"I believe it is part of our nature to constantly strive to learn and absorb anything and everything we can. Personally, I find it fulfilling to study new topics that I might not be as familiar with and move forward in my career. Studying value creation and pricing decisions were essential for me to contribute to my organization’s profitability and sustainability." 

—Bridget Brizek, Director, Alverno Laboratories

Read a Q&A with Bridget on why she decided to enroll in the program.

“The program is excellent for anyone who wishes to gain a better insight into why companies make strategic decisions from a financial analysis point of view. I learned not only the how but also the why behind key financial decisions.”

—Dr. Douglas Hutchens, VP, Global Development and Chief Veterinary Officer, Bayer Animal Health, Bayer HealthCare

“The Chicago Booth faculty provided a highly engaging and thoughtful program. I am leaving the program with both technical and behavioral strategies that I’m excited to share with my organization.”

—Lara Schneider, Senior Marketing Manager, Toshiba Corporation

“I was able to rethink how pricing can be set with the strengths and weaknesses of my product.”

—GC Chew, Head of Business Development and Operations, Conduit

“I now see pricing in a much higher perspective as an efficient way to optimize my company’s pricing strategy.”

—Ken Lin, CEO & Co-Founder, Abies Asset Management Consulting Co., Ltd.

“I enjoyed learning something new. I.e., Economic value to the customer, while simultaneously revisiting microeconomics, which I hadn’t consciously thought of in decades, but now I am with a new perspective.”

—Jeff Draper, Vice President, Isco Industries, Inc.

“I gained a conceptual understanding of how to focus on customer value and competitor reference prices to understand product differentiation first. Then, I could analyze demand at different price points to understand elasticity.”

—Justin Makinson, Senior Director, Financial Planning & Analysis, Cox Automotive, Inc.