Price Setting is the first of the five pricing processes. Its objective is to define the reference tariffs and the framework of rules that should be applied at transaction level. It can then be considered part of the pricing strategy.
Price setting process typically takes in input:
- A product catalog, that provides the list of products and value added services
- Costing data
- Price sensitivity analysis
- Market and competition analysis
- Performance analysis of previous price policy
This process provides the list of reference tariffs and discounting rules for products and value added services.