Pricing can be one of the most difficult decisions a company can make. There are many issues to consider: your costs, competitors, seasonality, discounting, and what your customers would be willing to pay, among many others. There’s no silver bullet to find the perfect price point, but if you are adaptable and committed to providing great service, customers will usually be willing to pay that price.
In this video Haley Ward, head of tourism sales and marketing at New York’s famed Metropolitan Museum of Art, discusses the challenge they faced introducing a new pricing model. Facing a revenue shortfall and rising demand, The Met decided to transition from a pay-what-you-want model to fixed pricing.
But what price point would be acceptable to see some of the greatest works of art? Ward gives some invaluable insights into how pricing can affect the worth that people will see in your product. Despite the initial criticism over the new pricing policy, she also walks through the steps they took to ensure their visitors understand the value of the experience. In the end, implementing the new pricing model made for an artful transition.
“It didn’t matter that the tourists had to pay, they knew the value they were getting for that ticket.”Haley WardHead of Tourism Sales and Marketing at the Metropolitan Museum of Art in New York City