The Pricing Game: Charge More

For a product priced at $10 with a profit of $1, if you raise the price by 1% ($0.10) that's a 10% increase in profit. Raise the price by 10% ($1) and it's a 100% increase in profit!


References:

• http://www.pricingsolutions.com/index.php/en/more-about-joomla/the-newsletters/157-pricing-for-profit
• http://iterativepath.wordpress.com/2009/02/26/another-cpg-reporting-profit-rise-from-price-increase/
• http://iterativepath.wordpress.com/2010/06/06/the-1-price-increase-fallacy/
• http://iterativepath.wordpress.com/2009/05/19/3-components-of-effective-price-management/
• http://pricingforprofitbook.com/pricing
• http://www.amazon.com/1-Windfall-Successful-Companies-Profit/dp/0061684325/
• http://www.amazon.com/Price-Advantage-Wiley-Finance/dp/0470481773/