Automotive: Pricing Models
Description
Comprehensive analysis of pricing strategies and models used across the automotive industry including traditional vehicle pricing, software-as-a-service models, subscription pricing, usage-based pricing, and emerging revenue models enabled by digital transformation and connected vehicles.
Learning Objectives
Learners will be able to analyze traditional automotive pricing models including manufacturer suggested retail price (MSRP) and dealer pricing strategies, evaluate emerging subscription and software-as-a-service pricing models for connected vehicle features, understand usage-based pricing models for mobility services and pay-per-use features, assess value-based pricing strategies for premium automotive technologies, and design pricing optimization systems using data analytics and dynamic pricing algorithms.
Topics (8)
Analysis of traditional vehicle pricing including MSRP development process, cost-plus pricing methodology, dealer margin structures, manufacturer incentives and rebates, regional pricing variations, and the role of options and accessories in pricing strategy for new vehicle sales.
Examination of SaaS pricing models for automotive including monthly/annual subscriptions for premium connectivity, navigation services, entertainment packages, and advanced driver assistance features, with analysis of pricing tiers, feature bundling, and customer acquisition strategies.
Analysis of usage-based pricing including ride-sharing per-mile rates, car-sharing hourly pricing, pay-per-use feature activation, insurance telematics pricing, and mobility-as-a-service pricing structures that charge based on actual usage rather than ownership.
Analysis of dynamic pricing implementations including real-time pricing adjustments based on demand, inventory levels, market conditions, competitor pricing, and customer behavior data, with examination of pricing algorithms and AI-powered pricing optimization systems.
Examination of parts and service pricing including genuine OEM parts premium pricing, aftermarket competitive pricing, service labor rate structures, warranty pricing, extended service contract pricing, and the impact of digital platforms on parts pricing transparency.
Analysis of competitive pricing methodologies including competitor price monitoring, market positioning through pricing, segment-based pricing strategies, penetration vs. premium pricing approaches, and regional pricing adaptation for different market conditions and competitive landscapes.
Examination of digital pricing management systems including pricing software platforms, analytics dashboards, A/B testing for pricing strategies, customer segmentation for pricing optimization, and integrated pricing management across online and offline channels in automotive sales and services.
Examination of value-based pricing approaches for premium automotive technologies including autonomous driving capabilities, luxury interior features, performance enhancements, and exclusive brand experiences, with focus on customer willingness-to-pay analysis and value proposition alignment.