Pricing Case Study: The Housing Market Teaches Why Cost Plus Pricing is a Bad Idea

Pragmatic Live Chat

This is part three of a four-part series with pricing expert and Pragmatic instructor Mark Stiving. Each new episode will feature a case study on current pricing trends.
 
In this episode of Pragmatic Live, Rebecca Kalogeris, VP of marketing for Pragmatic Institute, and Mark discuss the trends in the housing market.
 
“The number one takeaway from this and to take away from every pricing situation is that we always put ourselves in the minds of our customers and try to figure out how are they making decisions.”
 
They discuss:

  • The elements driving buyer behavior in the housing market.
  • The reasons why Zillow stopped flipping houses. Answer: Labor shortage and “the winner’s curse.”
  • How we can apply lessons learned in the housing market to B2B and SAAS companies.

Want to Learn More About Pricing Strategies?
 
Pragmatic Course: Pricing | $1,195
Learn more about pricing segmentation in the Price course. You’ll also learn how to determine market value and how to maximize your profit while minimizing discounting.
You’ll be introduced to several pricing tools including

  • Product Portfolio Worksheet
  • Isoprofit Tables
  • Pricing Ownership Matrix
  • Value Matrix

>> Enroll Today
 
Pragmatic Learning Network: Accelerate Your Subscription Business | $500
Pricing expert Mark Stiving brings his expertise on subscription models to our Pragmatic Learning Network to help product teams improve their subscription businesses and drive growth.
In this self-paced course, students will learn:

  • The three revenue buckets and how they drive prioritization
  • The three levels to pull to create and capture more value
  • Which growth strategies are best based on the life cycle of a product
  • The four ways to grow revenue from a single customer

>>Enroll Today 

Author

  • Pragmatic Editorial Team

    The Pragmatic Editorial Team comprises a diverse team of writers, researchers, and subject matter experts. We are trained to share Pragmatic Institute’s insights and useful information to guide product, data, and design professionals on their career development journeys. Pragmatic Institute is the global leader in Product, Data, and Design training and certification programs for working professionals. Since 1993, we’ve issued over 250,000 product management and product marketing certifications to professionals at companies around the globe. For questions or inquiries, please contact [email protected].

    View all posts

Most Recent

Podcast

Building AI-Powered Products at Scale with Mario Rodriguez, CPO of GitHub

In this episode, Mario Rodriguez, Chief Product Officer at GitHub, joins host Rebecca Kalogeris to explore how to prioritize products for massive user bases, integrate AI deeply into workflows, and prevent team burnout in fast-paced development cycles....
Podcast

Making Market Research Practical and Impactful with Ana Laskey, founder of Ground Control Research

In this episode, Anastassia (Ana) Laskey, founder of Ground Control Research, joins host Rebecca Kalogeris to explore how to make market research actionable in fast-moving organizations, without sacrificing depth or impact. Key Takeaways: Just-Right Research– Not every project needs...

OTHER PodcastS

Podcast

Building AI-Powered Products at Scale with Mario Rodriguez, CPO of GitHub

In this episode, Mario Rodriguez, Chief Product Officer at GitHub, joins host Rebecca Kalogeris to explore how to prioritize products for massive user bases, integrate AI deeply into workflows, and prevent team burnout in fast-paced development cycles....
Podcast

Making Market Research Practical and Impactful with Ana Laskey, founder of Ground Control Research

In this episode, Anastassia (Ana) Laskey, founder of Ground Control Research, joins host Rebecca Kalogeris to explore how to make market research actionable in fast-moving organizations, without sacrificing depth or impact. Key Takeaways: Just-Right Research– Not every project needs...

Sign up to stay up to date on the latest industry best practices.

Sign up to received invites to upcoming webinars, updates on our recent podcast episodes and the latest on industry best practices.