The quadrennial Summer Olympics is being held in Rio de Janeiro, Brazil。

As understood，As of August 3，Brazil Olympics ticket sales are less than 80%，This is compared to the last London Olympics where ticket sales exceeded 95%，It’s really far apart。

Why exactly？Brazilian people complained，“Ticket prices are too high。”

Whether it is to the Olympic Games organizers or other companies，Pricing strategy is too important。

Always，Companies are accustomed to obtaining as much benefit as possible from transactions through the price mechanism。This method has a fatal weakness，The biggest problem is，It will bring about a situation of confrontation between companies and consumers，Consumers will transfer once they feel deceived。

Companies and organizations should learn from the London Olympic Organizing Committee，Adopt "Creating Shared Value Pricing Strategy"。

Pricing policy is a huge challenge for the company，Also an opportunity。The challenge is:188bet app download

The root of the problem is: in the company’s traditional practices，Market value is viewed as a fixed-sized piece of cake，Companies must capture as much value as possible from customers；The value gained by any company comes from the share lost by customers，Vice versa。Based on this logic，Pricing is regarded as an optimization mechanism for the company。The company obtains profits through a mechanical pricing model，And often take advantage of consumers' disadvantages，For example, limited consumer information、Attention and choice。

But the value does not come from the company，Nor is it exclusive to the company。If there is no customer willing to bid，The value is out of the question。Therefore，Companies must share value with customers。Not only that，Value is not a fixed-sized piece of cake as most companies think。Quite the opposite，Its area may be expanded due to the cooperation of consumers，For example, a company can not only increase 188bet online sports betting product sales and reputation through high-quality discounts，It is also very helpful in building the company’s brand and user loyalty。

The primary language through which a company must communicate with its consumers is pricing，Take the lead in creating shared value。No factor has a greater impact on consumer behavior than price。If branding is a persuasive marketing technique，Pricing is the real engine that drives consumption。Price clearly and unmistakably communicates the company’s value、The company’s attitude toward customers and the way it interacts with customers。Company-driven consumer behavior will create new value，The added value will become the company’s new source of income，Improve user satisfaction and loyalty，Form a good word-of-mouth effect，Helps companies save costs and many other benefits。

Pricing strategy to create shared value，Is the only way for companies to improve their competitiveness。

What is a pricing strategy with shared value？The 2012 London Olympics is a good example。Within 16 days，Total 1.20,000 athletes participated in 26 sports competitions。The London Olympic and Paralympic Organizing Committee pre-sold 8 million tickets for this event，Tickets range from £20 to £2012。In addition to considering income factors，The organizing committee also set the goal of the Olympic Games as "Olympic Games for Everyone"。In order to fulfill this social mission，The London Olympic Organizing Committee needs to use a creative method、How to share value，Addressing extremely complex pricing challenges。

This is not just a challenge unique to the London Olympics。Most companies face similar challenges，It’s just that the London Olympics has a tighter schedule and wider media attention。Although few companies will announce their shared value mission as clearly as the London Olympic Organizing Committee，But most companies can benefit greatly from the London Olympics pricing method。

By conducting in-depth research on the pricing strategy of the 2012 Olympic Games，5 Pricing Principles We Discovered That Work for Your Company。

Five principles of pricing strategy

1. Focus on relationships, not transactions

Consumers usually identify with the brands they purchase，The company also hopes to have loyal customers rather than temporary trading partners。But，Pricing strategies often erect a wall between brands and followers。The company’s branding may be saying 188bet app download “We value you as a person”，Pricing strategy says "We value your wallet"。Consumers can spot a company’s inconsistencies at a glance，will respond accordingly。

2. Active pricing

Companies often formulate corresponding price strategies due to changes in circumstances，For example, changes in competitor behavior or customer dissatisfaction。Company that creates shared value，Need to proactively set prices based on the needs of target customers and their possible responses to prices。For example，If there is a simple and reasonable avoidance method，Consumers often bypass payments；They are sensitive to sunk costs，And respond differently to small recurring expenses and one-time large expenses。Companies can use this information，Proactive pricing to reduce behavior that is detrimental to consumer interests，Encourage behavior that is beneficial to both parties。

3. Focus on flexibility

Company pricing strategies are often too rigid。Many companies want to find the “right” price，Thus maximizing profits，Or achieve a temporary goal。But the same product may have different values ​​for different consumers，Over time，The value of the same product to the same consumer may also change。For example，For computer buyers，Product function is very important in the early stage，But the value of technical support and personalized services will gradually become more prominent in the future。A rigid and single pricing policy usually results in the company being unable to share value with consumers，It is also impossible to adjust prices in time according to changes in consumer demand。

4. Improve transparency

Companies with transparent profit methods can build trusting relationships with customers，And lead to more engaged customers。Customers with high loyalty have lower maintenance costs，And often purchase auxiliary products and additional services or become high-end users，They will provide more valuable feedback and product innovation suggestions，Being more tolerant of the company’s mistakes。Opposite，It is difficult for a company with low transparency to establish a trusting relationship with its customers，And show it has something to hide。Many products or services with poor customer satisfaction have long production lines、Complex pricing plans or obscure contract terms。In other words，The relationship between these companies and their customers is very transparent。

5. Ensure fair market standards

Last，It is also very important to ensure that pricing is fair in the eyes of consumers。If the company prices fairly，Consumers generally buy more products and are willing to pay higher prices。Opposite，If the pricing is unfair，Consumers will teach this company some "lessons"。What needs special attention is，Fairness includes more than just the final price，Also includes the pricing process。

below，Let us take a closer look at how the London Olympics uses the "Creating Shared Value Pricing Strategy"。

Pricing strategy for the 2012 London Olympics

The 2012 London Olympic Organizing Committee faces a huge business challenge: responding to 26 sports competitions，The London Olympic Organizing Committee needs to set fair and reasonable prices for 8 million tickets，Guarantee both income and attendance，It can also achieve the social goal of “everyone participating” in the Olympic Games。In order to achieve this goal，The organizing committee successfully and completely applied the five pricing principles of creating shared value。

1. Focus on relationships, not transactions.

The London Olympic Organizing Committee has long noticed the organization and the British government、British public、Relationships between the International Olympic Organizing Committee and other institutions，And fare is the most tangible connection。As one organizing committee member said，Ticket revenue only accounts for 20% of the total revenue of the Olympic Games，But if the pricing goes wrong, it will be the biggest headache for the organizer。

The solution to this is to put the consumer over the transaction.

First，The organizing committee has developed multi-tiered ticket prices for many projects，This will ensure income，Guaranteed low-price tickets。

Second，The organizing committee has designed different ticket prices for people of different age groups，Discounts are provided respectively for teenagers and seniors over 60 years old。

Third，The organizing committee has chosen high and low ticket prices for the opening ceremony tickets，20 respectively.£12 and £2012，The symbolic meaning is self-evident。

Last，The organizing committee will not issue free tickets，To avoid the public outrage caused by free tickets at previous Olympic Games。To many people，The subtext of this behavior is "We are rescuing you"。

2. Proactive pricing.

In the past, Olympic Games organizers often bundled tickets for events with few spectators with tickets for popular events，To increase attendance and revenue。The London Olympic Organizing Committee did not do this，The main consideration is that 188bet sports betting app download it will increase the burden on consumers，May not increase attendance。Many consumers who purchased bundled tickets did not go to watch unpopular events。

In order to avoid such problems，The London Olympic Organizing Committee has set independent ticket prices for 26 sports，And formulated their respective target groups and marketing strategies in detail。It is worth mentioning，The organizing committee has bundled sales of public transportation and tickets，To alleviate traffic congestion near the venue。By aggressive pricing，The organizing committee has reduced the proportion of people not watching the game，Increasing the frequency of people using public transportation，Make the audience and the organizer happy。

3. Focus on flexibility.

The London Olympic Organizing Committee must set the prices for all event tickets one and a half years in advance，The market demand information at this time is not yet clear。In order to deal with this uncertainty，As mentioned before，The organizing committee has set more tiered ticket prices for the competition，But，The number of tickets for each fare is not fixed，The organizing committee promised that the tickets purchased by the audience will be more expensive，The better seats you can get。Spring 2011，Consumers choose the games they want to watch and the ticket prices they can afford through an online voting system。After understanding the situation，The organizing committee can evaluate the demand for each fare，And reallocate the corresponding number of seats accordingly。Because the number of seats for various fares has not been reserved in advance，The organizing committee can flexibly handle ticketing based on actual rather than anticipated demand，This not only successfully sold more tickets，And consumer satisfaction is also very high。

4. Increase transparency.

The London Olympic Organizing Committee knows that every move it makes is under the supervision of the public，Especially from the British tabloids。One of the pricing targets disclosed for this Olympic Games，Just avoid negative media coverage。Therefore，From the beginning，The organizing committee released transparent information to consumers and the media，Including pricing principles and processes、Main nodes of ticket purchase timeline、Ladder ticket prices for each event、The number of tickets available and the organizer’s ticket sales to sponsors and the general public。so far，The efforts of the organizing committee are basically successful。

5. Ensure market standards are fair.

Speaking of this 188bet Online Sports Betting and Casino Olympic Games，Many Londoners expressed their desire to watch the most exciting games at the most reasonable price。After all，London citizens witnessed the construction of the venue，And make financial contributions to the preparations for the Olympic Games。But，Not everyone who wants to watch a specific game can successfully purchase a ticket，And the ticket prices for some items are not reasonable。

To address these issues and meet audience expectations，The organizing committee has taken the following two measures:

First，Starting from the first day of ticket sales，The organizing committee are strongly promoting discounts for certain age groups and special tickets for as low as £20 or £30。Without a doubt，The media will criticize some expensive tickets，But the organizing committee hopes the public understands，If you don’t have these expensive tickets，The organizer cannot provide a variety of low-price and special price tickets to the public。

Secondly，The organizing committee firmly prohibits the auction of popular tickets or secondary transactions above the face value of the ticket。Tickets are obtained through random drawing，To avoid any possible unfair situation。