Pricing in a Recession: Customer Segmentation based on Decision-Making Attributes

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Now that we've learned that customer segmentation is important on your website, let's look at customer segmentation and pricing. When companies make sweeping, "across the board" cuts in pricing, they basically shoot themselves in the head. A smarter approach is to segment your customers by understanding their decision-making attributes, and then price accordingly.

Here, Oliver Wyman tells us how "market pricing" is done:


On the flip side, I wonder if companies do the same thing with employee pay - i.e. segment their employees based on performance and individualized intrinsic motivations and then give them what encourages them the most.

And of course, it's not all about money. Unless you're at AIG.

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This page contains a single entry by Christian Sarkar published on March 16, 2009 10:19 AM.

What Happened to Forrester Research? was the previous entry in this blog.

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