BusinessThe BestieIntermediate
Pricing Strategy and Value Capture, a free business course on Tomo

Pricing Strategy and Value Capture

Stop leaving money on the table through gut-feel pricing and margin-killing discounts. Learn to price based on economic value, structure compelling tiers, and protect profitability using behavioral frameworks.

Like Duolingo, but for Pricing Strategy and Value Capture. Tomo turns the whole topic into a game you play five minutes a day, until it actually sticks.

A short one: 11 levels across 2 sections, about 22 minutes end to end, roughly 4 days at five minutes a day. It moves through Determining What Customers Will Pay and Designing and Defending the Offer. It assumes you already know the basics.

11 bite-size levelsAbout 5 minutes each

Free forever · No credit card · iPhone & Android

Barnaby the Bull, the guide who teaches the Pricing Strategy and Value Capture course
Pricing Strategy and Value Capture
with Barnaby the Bull
11
Levels
2
Sections
5
Min/day
What you'll learn

Key ideas in Pricing Strategy and Value Capture

  • Buyers evaluate a product's price against the business utility it delivers, not the vendor's unit costs.
  • Cost-plus formulas trigger unforced price cuts when production becomes more efficient.
  • Decoupling price from internal costs lets firms capture high margins on automated or low-cost solutions.
  • Economic Value to the Customer begins with the price of the buyer's next-best alternative.
  • Differentiation value adds the dollar gains of unique features and subtracts extra buyer costs.
  • The total EVC represents the absolute price ceiling before a customer prefers the competitor.
  • In markets with few substitutes, buyer demand is inelastic and price cuts do not drive volume.
  • Passing efficiency gains directly to unpressured customers surrenders gross margin unnecessarily.
  • Retaining cost savings fuels reinvestment or profits when price is not the customer's primary friction.
  • Target costing starts outward in the market by determining acceptable competitive price thresholds.
  • Subtracting the firm's required margin from the target price yields the allowable unit cost.
  • Fixed operating costs stay flat when price rises, so extra revenue drops directly to bottom-line profit.
  • On a thin 10% operating margin, a 5% top-line price bump yields roughly a 50% surge in net profit.
  • Risk mitigation framing makes pricing secondary to avoiding catastrophic regulatory fines.
  • Return-on-investment framing shifts buyer attention from immediate cash cost to future yield.
  • Budget-fraction framing anchors an expense as negligible against an approved enterprise contract.
Why not just Google it

You've tried the other tabs

Wikipedia

Thirty open tabs. Four facts you actually kept.

YouTube

You watched. You nodded. By Sunday it was gone.

ChatGPT

One answer, then back to scrolling.

Online courses

Eight weeks. You meant to finish. You didn't.

Tomo gives Pricing Strategy and Value Capture the Duolingo treatment: levels, streaks, and quick quizzes that test what you just learned. That game loop is what the tabs above never had, so it's the one you actually finish.

Try a question

Here's what playing it feels like

A real question from this course. Take your best guess.

Pricing for Value, Not Cost

A team automates their reports, cutting delivery costs from $20 to $2 per client. What happens if they stick strictly to cost-plus pricing?

Get it right to open this lesson and 10 more in the app.

Course map

How to learn Pricing Strategy and Value Capture, step by step

Go in order. 11 short levels across 2 sections, about 22 minutes in all, five minutes a day.

  1. 1

    Determining What Customers Will Pay

    • Breaking the Cost-Plus Trap
    • Elasticity and Margin Blindspots
  2. 2

    Designing and Defending the Offer

    • Tiering and Decoy Architecture
    • Discounting Pitfalls and Price Defense

2 sections · 4 units · 11 levels. Built to play, not to enroll.

Questions

Questions about Pricing Strategy and Value Capture

  1. How do I learn Pricing Strategy and Value Capture?

    Go in order: start with Determining What Customers Will Pay, then Designing and Defending the Offer. On Tomo that's 11 short levels, about 22 minutes in all, played five minutes a day. Start free and play the first level in under a minute.

  2. Is there a Duolingo-style app for Pricing Strategy and Value Capture?

    Yes. Tomo works like Duolingo: short daily lessons, streaks and quick quizzes. Pricing Strategy and Value Capture is one of its free courses, and you can type any other topic to get a course of your own.

  3. Is the Pricing Strategy and Value Capture course free?

    Yes. Pricing Strategy and Value Capture is playable on Tomo's free plan, which doesn't expire. No credit card, no waitlist. Download the app and start your first lesson.

  4. How long does it take to learn Pricing Strategy and Value Capture?

    11 levels across 2 sections, about 22 minutes of play in total. It's built for five minutes a day, so you finish it a little at a time instead of all at once.

  5. Do I need any background to start Pricing Strategy and Value Capture?

    No. It's pitched at an intermediate level, so it starts where you are and builds up. If you can tap a phone, you can start.

New

Tomo is in ChatGPT

Tomo is also a ChatGPT plugin: the same playable courses, built and played inside your chat.

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How it's taught

You pick the voice

This course
The Bestie

Pricing Strategy and Value Capture is taught in the Bestie style: your friend who just gets it. Want a different feel? In the app you can spin up the same topic in any of Tomo's teaching styles. Same facts, totally different vibe.

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Start Pricing Strategy and Value Capture today.

Download Tomo, search Pricing Strategy and Value Capture, and play your first lesson in under a minute.