Pricing Power: Making Pricing Profitable with Ayon Bhattacharyya

Ayon Bhattacharyya is the Founder of Biz Growth Spurt, a consulting firm based out of New Zealand. He has experienced pricing in half a dozen companies, and he's a passionate animal welfare advocate. In this episode, Ayon discusses pricing power as he enumerates its four different levels while talking about value-based pricing.   Why you have to check out today's podcast: Understand how pricing power relates to price elasticity Find out what Ayon's four different levels of pricing power are all about Discover how Mark's will I? which one? concept relates to these levels   "Think about your pricing power, and think about how – whether it's sort of competitive advantage, perceived value, all of those things – what can you do differently to improve your pricing power today." – Ayon Bhattacharyya   Topics Covered: 01:18 – How Ayon got into pricing 02:33 – Defining value-based pricing and relating it to airline pricing 05:57 – Pricing power vs. price elasticity 09:50 – Ayon's four different levels of pricing power 13:33 – Describing the levels: (1) Cost chaser 15:04 – Describing the levels: (2) Market pricer 15:46 – Describing the levels: (3) Value conqueror 18:16 – Doing behavioral economics at a cost chaser level 19:09 – Applying Mark's "will I? which one?" concept to Ayon's levels of pricing power 22:19 – Talking about value-based and fixed pricing 25:26 – Ayon's piece of pricing advice for the listeners   Key Takeaways: "Pricing power is essentially your ability to charge a higher price without losing customers. Another way to say that is a company's ability to get the price it deserves for the value it delivers." – Ayon Bhattacharyya "A maturity suggests that you need to get there over a period of time; you grow into it. It can't be something that you just start out with that, at level three. But that's not what I'm trying to say here. You can actually start out and you can be an early-staged business and you can start out as a value conqueror. You don't need to progress from level one to get to level three. You can start at level three." – Ayon Bhattacharyya "There are some businesses that can just start at a higher level, but I think generally, it is a journey. I think of pricing strategy as a journey, not just an outcome." – Ayon Bhattacharyya   People / Resources Mentioned: Biz Growth Spurt: https://bizgrowthspurt.com/ Stephan Liozu and his book: The Pricing Journey   Connect with Ayon Bhattacharyya: Website: https://bizgrowthspurt.com/ LinkedIn: https://nz.linkedin.com/in/ayonb Email: [email protected]   Connect with Mark Stiving: LinkedIn: https://www.linkedin.com/in/stiving/ Email: [email protected]