When attractions or arts organizations re-open after a pandemic, how should they think about pricing their tickets? Digonex Chief Economist Dr. Murat Atlamaz, Ph.D., describes four factors to be considered.
Digonex clients Dennis Woerner of the Indianapolis Zoo and Lisa Townsend of The Children’s Museum of Indianapolis were interviewed about their dynamic pricing experiences by the American Alliance of Museums blog, answering questions like,”how does your pricing system work?” and “what’s been the outcome?”
In this interview with AudienceView.com, Digonex CEO Greg Loewen tells the story of Digonex in own words: our history; our science; and why Digonex is uniquely position to help AudienceView users make the most of dynamic pricing.
“We’ve enlisted the services of Digonex to make more intelligent decisions about the pricing for many of our shows. We’ve found that with the assistance of the solution, and the economists on their staff behind the scenes, pricing recommendations are being made based on inputs we never would have considered before.”
“We are delighted to be working with Digonex”, said Mark Danemann, President of accesso Siriusware. “We have always focused on providing our clients with innovative tools to drive revenue and through our new relationship with Digonex, our clients now have seamless access to best-in-class dynamic pricing solutions.”
Gateway’s President and Chief Executive Officer Michael Andre added: “Our mission is to make our customers’ lives easier. Through our alliance with Digonex, we’re offering them an automated dynamic pricing solution that can boost their revenue with no manual updating necessary. Providing them with easy integration to this scientific approach can only help them achieve their goals.”
“Besides powering revenue across the organization through ticketing, fundraising, memberships, marketing, and more, Tessitura Software includes many advanced tools for strategic decision-making. With the addition of our partnership with Digonex, the Tessitura Community will be able to take it to the next level,” said Jack Rubin, President of Tessitura Network.
How does dynamic pricing work? Even for people familiar with the basic concept, the mechanics of generating price recommendations remain mysterious. How can a person understand dynamic pricing without a math, statistics, or economics background?
Two different Digonex clients (Icon Concerts and the Indianapolis Zoo) were featured in an article on dynamic pricing by AP business writer Joseph Pisanti, which further discusses the expanding uses of dynamic pricing by amusement parks, bars, and Broadway shows.
The new Disney seasonal pricing has some asking, “Has Disney gone too far?” The better question is, “Has Disney gone far enough?” Variable pricing is a step in the right direction, but has its limitations.
“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!
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.
Chris Pohl, Digonex VP of Client Services, discusses seasonal pricing and how dynamic pricing can complement a seasonal pricing strategy.
It’s a common misconception that “demand-based” pricing means the higher the sales of something, the higher the price should be. But the optimal price is not always correlated with demand, at least not in the way you might think.