Pricing Strategy and Revenue Management

Course Overview

The Pricing Strategy & Revenue Management course provides participants with a balanced mix of theory and practical application. It is designed to build the skills required to design effective pricing policies and optimize revenue performance across various industries.

Highly practical in nature, the program helps participants master the principles of value-based pricing, assess customer value perceptions, and explore diverse strategic pricing approaches suitable for competitive markets.

The course also explores essential topics such as cost analysis and its impact on pricing decisions, communication strategies, and approaches for pricing new products and services. Additionally, participants will examine the key concepts of Revenue Management (RM), including demand management, forecasting, and inventory control.

By the end of the course, participants will have a strong understanding of the interdisciplinary nature of pricing and revenue management and how to apply these concepts to develop and implement effective RM systems that enhance business profitability and performance.

This program is ideal for mid- and senior-level managers working in marketing, finance, and product management who wish to strengthen their expertise in pricing strategy and revenue optimization.

Course Objectives

Upon completion of the Pricing Strategy & Revenue Management course, participants will be able to:

• Understand the fundamentals of value-based pricing
• Analyze how customers perceive price and value
• Evaluate and select from various pricing alternatives
• Identify the role of cost information in setting prices
• Develop and implement effective value-based pricing strategies
• Apply communication strategies to support pricing objectives
• Explore emerging pricing paradigms and innovations
• Address common pricing challenges effectively
• Recognize the multi-disciplinary nature of pricing
• Develop strategies for pricing new products and services
• Understand the influence of economics in pricing
• Use pricing as a strategic lever for profit and revenue growth

Who Should Attend

This course is suitable for:

• Mid- and Senior-Level Executives
• Vice Presidents and Directors of Marketing
• Finance, Sales, and Planning Executives
• Product and Brand Managers
• Entrepreneurs and Product Development Leaders
• Managers operating in highly competitive markets

Course Outline

Unit 1: Introduction to Pricing Strategies

• Business foundations for effective pricing
• Pricing perspectives across different industries
• Core principles of value-based pricing
• Major types of pricing strategies
• Key performance indicators (KPIs) in pricing management
• Common pricing errors and how to avoid them

Unit 2: Fundamentals of Revenue Management (RM)

• Definition, history, and evolution of RM
• Objectives, core principles, and essential elements
• Conditions required for successful revenue management
• Differences between revenue management and yield management
• Strategic importance of RM for business success
• RM terminology, metrics, and key performance indicators

Unit 3: RM and Forecasting

• The economics of revenue management
• Techniques for managing and influencing demand
• Understanding constrained vs. unconstrained demand

Unit 4: Forecasting Techniques

• Definition and significance of forecasting
• The role of forecasting in revenue management
• Booking curves and pickup forecasting explained
• Common forecasting methods and error measurement
• Tips for improving forecast accuracy
• Managing overbooking and related policy guidelines

Unit 5: Inventory Allocation and Capacity Control

• Fundamentals of inventory allocation and capacity control
• Expected marginal revenue and its application
• Understanding nested reservation systems
• Protection levels vs. booking limits
• Managing group reservations and large bookings

Unit 6: Implementing Revenue Management Systems

• The role of RM systems in supporting decision-making
• Core features and benefits of RM technology
• Integrating RM with data analytics and visualization tools