Everything about Value-based pricing
Pricing strategy based on the estimated value
Value-based price, also called value-optimized pricing or charging what the market will bear, is a market-driven pricing strategy which sets the price of a good or service according to its perceived or estimated value. The value that a consumer gives to a good or service, can then be defined as their willingness to pay for it or the amount of time and resources they would be willing to give up for it. For example, a painting may be priced at a higher cost than the price of a canvas and paints. If set using the value-based approach, its price will reflect factors such as age, cultural significance, and, most importantly, how much benefit the buyer is deriving. Owning an original Dalí or Picasso painting elevates the self-esteem of the buyer and hence elevates the perceived benefits of ownership. Wikipedia →
🧭 Start here: a 6-step reading path
- Read the overview: Value-based pricingA 5-minute orientation
- Skim a recent paper: Beyond Scarcity: A Social Value-Based Lens for NFT PricingInfluential work since 2022
- Pick up a classic book: Stop The ClockThe most-reprinted book on the subject
- Read the landmark paper: Customer value‐based pricing strategies: why companies resistCited 197 times
- Go sideways: Pricing strategyA closely related topic
- Go sideways: Price discriminationA closely related topic
📖 Definitions
No dictionary entry for this exact phrase.
🗂️ The subject at a glance
🏆 Landmark papers (most cited)
Customer value‐based pricing strategies: why companies resist
Supply chain cost management and value-based pricing
Implementation of Value-based Pricing for Medicines
Operationalizing Value-Based Pricing of Medicines
Value-Based Pricing for Drugs
Value-Based Pricing
Industrial product pricing: a value‐based approach
Value-Based Pricing: L’Enfant Terrible?
🆕 Influential since 2022
Beyond Scarcity: A Social Value-Based Lens for NFT Pricing
Market access and value-based pricing of digital health applications in Germany
Data Boundary and Data Pricing Based on the Shapley Value
Value-Based Pricing of Resmetirom for Metabolic Dysfunction–Associated Steatotic Liver Disease
Value elements and methods of value-based pricing for drugs in Japan: a systematic review
📚 Books worth reading
Stop The ClockShaun Jardine · 2026- 📕Cross-border tax challenges in the 21st centuryBillur Yaltı Soydan, Koç Üniversitesi Hukuk Fakültesi Dr. Nüsret-Semahat Arsel Uluslararası Ticaret Hukuku Uygulama ve Araştırma Merkezi · 2018
Ranked by number of editions on Open Library, a rough measure of how lasting a book is.
🔗 Related topics
- Pricing strategy A business can choose from a variety of pricing strategies when selling a product or service. To determine the most effective pricing strategy for a company…
- Price discrimination Price discrimination, known also by several other names, is a microeconomic pricing strategy whereby identical or largely similar goods or services are…
- Pricing Pricing is the process whereby a business sets and displays the price at which it will sell its products and services and may be part of the business's…
- Premium pricing Premium pricing (also called image pricing or prestige pricing) is the practice of keeping the price of one of the products or service artificially high…
- Price-based selling Price-based selling is a specific selling technique in which a business exclusively reduces their price in attempt to close the sales cycle. Price-based…
- Monopoly A monopoly (from Greek μόνος, mónos, 'single, alone' and πωλεῖν, pōleîn, 'to sell') is a market in which one person or company is the only supplier of…
- Marketing channel A marketing channel consists of the people, organizations, and activities necessary to transfer the ownership of goods from the point of production to…
- Marketing Marketing is the act of acquiring, satisfying and retaining customers. It is one of the primary components of business management and commerce. Marketing…