Trilogy Corporation: Customer Value-Based Pricing

Abstract

Steve Meyer, the chief marketing officer at Trilogy, was evaluating the best way to move forward with an innovative, customer value-based pricing approach for its enterprise software solutions. Trilogy had radically transformed its business from a product-centric organization to a customer-centric one, and value-based pricing was a pillar of this transformation. Meyer had to evaluate three pricing approaches: traditional license based, subscription based, and gain sharing. He had to assess which pricing approach Trilogy and Trilogy's clients would prefer and the conditions under which gain-sharing pricing would work. Meyer also had to address several adoption barriers that prevented customers from embracing the gain-sharing pricing approach.

Citation

Sawhney, M. (2017), "Trilogy Corporation: Customer Value-Based Pricing", Kellogg School of Management Cases. https://doi.org/10.1108/case.kellogg.2016.000379

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