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Part Two: Nine Surprising Rules for Successful Monetization
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Part Two: Nine Surprising Rules for Successful Monetization
by Georg Tacke, Madhavan Ramanujam
Monetizing Innovation
Cover
Praise for Monetizing Innovation
Title Page
Copyright
Dedication
Foreword
Acknowledgments
Part One: The Monetizing Innovation Problem
Chapter 1: How Innovators Leave Billions on the Table
Why the Majority of New Products Fail
Successful Innovation Matters More Than Ever
The Good News: Monetizing Innovation Failures Come in Only Four Varieties
You Can Avoid Failure—but Only If You Play by Different Rules
Chapter 2: Feature Shocks, Minivations, Hidden Gems, and Undeads
Flavor 1: Feature Shocks—When You Give Too Much and Get Too Little
Flavor 2: Minivations—When You Ask for Too Little, That's What You Get
Flavor 3: Hidden Gems—When You Don't Look, You're Not Going to Find Them
Flavor 4: Undeads—When Nobody Wants Your Product
These Four Monetizing Innovation Failures Can Be Avoided
Chapter 3: Why Good People Get It Wrong
Myths and Misconceptions with the Prevailing Mindset
Embracing a New Paradigm
Introduction to Part 2
Part Two: Nine Surprising Rules for Successful Monetization
Chapter 4: Have the “Willingness-to-Pay” Talk Early
How an Early Willingness-to-Pay Talk Propelled Gillette
Why You Should Have the Talk Early: The Three Benefits
The Information You Need from Those Early Pricing Talks
Insights, Tips, and Tricks
Chapter 5: Don't Default to a One-Size-Fits-All Solution
A Paper Company's Segmentation Story
Typical Pitfalls of Segmentation
What Best-in-Class Companies Do
Insights, Tips, and Tricks
Chapter 6: When Designing Products, Configuration and Bundling is More Science Than Art
Product Configuration Done Right
Bundling Done Right
Microsoft Office: A Bundling Blockbuster
Two Key Principles of Product Configuration and Bundling
Insights, Tips, and Tricks
Chapter 7: Go beyond the Price Point
How You Charge Trumps What You Charge
Innovative Monetization Models: More the Rule Than the Exception
Five Powerful Monetization Models
Five Questions to Choose the Right Monetization Model
Chapter 8: Price Low for Market Share or High for Premium Branding?
Creating the Pricing Strategy Document: The Four Building Blocks
Chapter 9: From Hoping to Knowing
How Auto Auctioneer Manheim Tested a New Offering
Why WTP Is Essential For Your Business Case
Nine Steps to Build a Living Business Case
Chapter 10: The Innovation Won't Speak for Itself
A Few Shining Examples of Value Communications
So Why Is Value Messaging Difficult?
The Three Steps to Create Great Value Communications
Chapter 11: Use Behavioral Pricing Tactics to Persuade and Sell
The Behavioral Pricing Dilemma of an Internet Start-Up Company
Six Behavioral Pricing Tactics That Make the Difference
Don't Guess: Put Behavioral Tactics to the Test
Chapter 12: Maintain Your Price Integrity
The Importance of Patience in Maintaining Price Integrity
How to Prepare for Post-Launch
Price Wars: The Only Winning Move Is Not to Play
Part Three: Success Stories and Implementation
Chapter 13: Learning from the Best
The Porsche Story—Veering Off the Sports Car Track to Create Two Winning Vehicles
LinkedIn—Monetizing the World's Largest Professional Network
Dräger—Collecting the Specs for Successful Industrial Products before Engineering
Uber—Monetizing a Disruptive Innovation through Innovative Price Models
Summary: New Roads
Swarovski—The Payoff from Crystal-Clear Ideas on What Consumers Will Pay
Optimizely—How to Price Breakthrough Innovation
Innovative Pharma—How a Customer Value Driven R&D Approach Boosts Success
Chapter 14: Implementing the “Designing the Product around the Price” Innovation Process
Jump-Start and Pilot
Scale and Stick
The Nine Pitfalls to Implementing a New-Product Monetization Process (and How to Avoid Them)
Index
End User License Agreement
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Chapter 3: Why Good People Get It Wrong
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Chapter 4: Have the “Willingness-to-Pay” Talk Early
Part Two
Nine Surprising Rules for Successful Monetization
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