Pricing Strategy Case Study

What is your Pricing strategy

The current pricing strategy includes 30% flat fee for every book sale. This price includes the marketing price, publishing price, and price of standard cover design. Also, there are no upfront charges were included in this pricing. However, the bespoke cover designed is obtained from a freelance designer is costly. The book editing service is charged at 5% additional surcharged. This current pricing strategy is considered as unsustainable and the company is introducing more strategies to make it more effective. Some of the pricing ideas are following,

• Down and Up strategy can be helpful in finding the best price point for an e-book. The strategy to reduce the price of an e-book by $1.00 on consecutive three

The book one can be sold for $0.99 while the book two will have the price near $3.99.s

• Pricing must be lower than the paperback versions of the books if there is any.

• Increasing the price before the free book days is another considering strategy?

What is your Business model

The typology of business models for publishing is described in the report of Joint Information Systems Committee in 2009. This report described the business models as subscription business model, Hybrid and transition business model and Open access business model. The business model adopted for The book Emporium is Hybrid transition model.

Hybrid/Transition business model

This model is based on a mix of business models with two alternatives, access is open to a limited period of time, and access is open as per the author’s decision. The business model required the following elements.

Customer value proposition

In this target is very clear, the target is categorized according to the ages and gender of the customers.

Profit

The revenue model includes the clear vision about the amount of the issues produced according to the market size. The equilibriums monitoring of long valid contents and obsolete contents. The third aspect is the margin model that describes the producer gain in a particular publication. The fourth aspect is the resource velocity; this describes that how quickly supply can be available according to the demand of a content.

Key resources

The key resources in e-publishing include the authors, the editors, cover designers, reviews, marketing and salespersons, computer technology, editing software, and distributing software.

Key Process

The key processes are categorized into three aspects, the first includes, design, content development, available resources, publishing, marketing, and information technology. The second aspect is based on rules and metrics that are investment margins and support funds. The third aspect is based on norms.

Complete a Business model canvas

The Business model canvas is based on the following segments

• Customer segmentation, this segment describes the building block of a different group of individual or the organization that aims to reach the server