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Pricing Strategies: 13 Articles You Need to Read

Pricing Strategies: 13 Articles You Need to Read

Most businesses struggle with their product pricing strategies. Am I charging too much or too little? What’s the price elasticity like? How can I grow sales with the right pricing?

Here’s one answer that you’re not going to like: there is no one magical pricing strategy. However, you CAN make more money by doing it better and actually having some strategy in your pricing.

Most of you want to sell at maximum profitability, which means: sell as many (units, copies) as possible at as a high a price as possible. Here are 14 articles that give tremendous insight and food for thought to achieve this.

In no particular order:

1. E-book pricing trilogy

Three guys – Sacha Greif, Jarrod Drysdale and Nathan Barry – wrote e-books. Each of them followed a different pricing strategy, and got different results. It’s as close to apples to apples comparison you can get with digital products, but it’s still not clear which strategy was the best – since you can have many different definitions of what ‘best’ looks like.

Read their posts in this order (as they were published):

  1. How Perfect Pricing got me 1500 Sales in 2 Days
  2. Perfect Pricing Part Deux — More money from fewer sales
  3. An eBook pricing model that resulted in $100,000 in sales
  4. The Pricing Trilogy

2. Four pricing principles to never forget

This great article lists common mistakes startups make with their pricing and principles they should keep in mind.

3. Camels and Rubber Duckies

You launched a new software product. Congratulations! One of the biggest questions you’re going to be asking now is, “How much should I charge for my software?” Read here Joel Spolsky’s take on it.

4. A Rake Too Far: Optimal Platform Pricing Strategy

In a casino, the term “rake” refers to the commission that the house earns for operating a poker game. If you run a platform and you charge others for using it, you need to read this one.

5. Pricing Strategy for Creatives

Are you a freelancer? Do you charge by the hour? Don’t. Here’s how you should do your pricing instead.

6. What I Learned From Increasing My Prices

Lessons from the biggest increase in revenue Bidsketch ever had. Fantastic read.

7. Product Pricing Primer

A collection of issues to consider when making decisions about the price of software products. Very useful.

8. Are You Making the Most Common Pricing Mistake

This click-attracting headline does actually contain a very valuable point. Make sure you don’t miss it.

9. Three Pricing Strategies

Learn about three different strategies you can employ: cost plus pricing, competitive based pricing and value based pricing.

10. Pricing Experiments You Probably Don’t Know About

Here’s an article I wrote on this blog, summing up various pricing experiments. It’s the most read and shared article I’ve ever written.


If you read through all of it, you’ll see there are several points that are repeated often.

  1. There is no perfect pricing. You won’t get your pricing right the first time, so stop stressing about it. Pricing is a process and requires continuous optimization like everything else.
  2. Higher prices lead to bigger profits. This is confirmed by a study of the Global 1200 that found if companies raised prices by just 1%, their average operating profits would increase by 11%
  3. Human beings are irrational and don’t know the fair value of anything. Price anchoring and other “tricks” work very well.

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Join the Conversation Add Your Comment

  1. Just a few other hits for you. Will Critchlow gave me some pricing links that were AMAZING:

    I could give you double that but that’s probably more than plenty. Anyone doing freelance or agency pricing SHOULD look at the links on Love the links you gave above – about to go dig into the rest of them now.


    1. Peep Laja

      Cheers, yeah I love patio11’s stuff.

  2. Peep, This looks amazing. I appreciate your effort! I am blogger and I know what it takes to research and make great content!

  3. Tks for the good information :)

  4. Thanks for this collection Peep, I just pasted a link to it to a discussion on SEOMoz thread in LinkedIn where some of us are talking about the problem of being lowballed by competitors.

    1. Peep Laja

      If somebody offers the *exact same* thing for a cheaper price, there’s little incentive to pay more. You need to communicate your value proposition better and make it clear why you’re worth the extra $$$.

  5. Some great posts there Peep. Just had a look at the pricing strategies post, some good info in there.

  6. Wonderful share here, Peep. Pricing is something I’ve always struggled with as an entrepreneur and you’ve given me some great resources. I still can’t believe that raising prices just 1% would increase overall profits by 11%. That is incredible!

  7. Thanks for the great stuff. I am a pricing strategist myself and I always tell my clients that: “Pricing optimization requires a real commitment”. I am always glad to see people experimenting…

  8. Peep,

    What do you think of Dan Kennedy’s NO B.S. Pricing Strategies?


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Pricing Strategies: 13 Articles You Need to Read

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