Tag Archives: office suite

Pricing IQ Test You’re Sure to Fail

I admit it. Pricing is often baffling to me. Test your pricing IQ by answering these 10 simple questions.

1. Why is an iPhone application expensive at $4.99 but a magazine can sell for $6.95, and a no-frills 20-ounce cup of coffee for $2.50 without anyone getting up in arms?

2. Why is a gallon of gas expensive at $3.00 when a gallon of bottled water costing $4.00 isn’t an outrage ?

3. Why is a Sunday newspaper just fine at $1.00 and up but a news website way too expensive at $2.99 per month?

4-5. Why are great applications like Google Earth or Evernote free? My generation was taught to mistrust the man in the trench coat offering free candy. Should we worry?

6. Why do we accept advertising without question in newspapers and magazines and most television, but not in an iPhone app we paid $2.99 for?

7-10. Why do we assume email is free? Why do we pay hundreds of dollars for one productivity suite, or nothing for another? Why do we assume content has no value, and why do content providers give it away? Why do we assume anything we can copy has no value, or that copying isn’t stealing?

Pricing is magic. And baffling. And to score this test, make something up. I have no idea.