Digonex in the News: Los Angeles Times
“Walt Disney Co.’s move to lift prices at Disneyland and its other theme parks on busy days was a novel step for the entertainment giant, but the news made perfect sense…”
“Walt Disney Co.’s move to lift prices at Disneyland and its other theme parks on busy days was a novel step for the entertainment giant, but the news made perfect sense…”
Surge pricing may be necessary for Uber to manipulate its supply of independent-contractor drivers. But that’s not what all, or even most, dynamic pricing programs look like. There are many you don’t hear of, because there aren’t angry customers to write about!
The best pricing strategy is one that blends the best available data science with the art of pricing — that is, with management experience and judgment. The question is, how do you put in place a process for blending the best available “art” and “science”? Here are three steps we take to help our clients achieve the optimal balance.
In most dynamic pricing implementations, there are multiple business goals in play, requiring combination into a single, well-defined economic problem for dynamic pricing to solve. Therefore, it’s easy to see that a generic pricing algorithm cannot serve every client without customization.
Some businesses are positioned to see greater return on investment in dynamic pricing than others. Wondering whether your business is a good fit for dynamic pricing? Consider these three factors that predict dynamic pricing success.
Trusting an algorithm to make pricing decisions can be intimidating. But a recent study published by the University of Pennsylvania’s Wharton School shows that “algorithm aversion” is normal and can be overcome.
When implemented with accessibility in mind, dynamic pricing provides opportunity to offer lower prices, to increase attendance during off-peak periods for attractions. Zoos, aquariums and museums with a community focus can use this insight to increase public accessibility to their attraction.
Dynamic pricing is a new enough innovation, made possible through modern technology, that even some pricing “experts” suffer from misconceptions about it. Learn four of the most common myths about dynamic pricing and why they shouldn’t prevent your attraction from changing with the times.