Is That Your Final Offer? Mobile Dynamic Pricing
Dynamic pricing is back. In 1845, people walked into price-free stores, and the price was decided then and there. More recently, we’ve seen this with airline tickets, fluctuating in price based on demand. Now, with mobile advances, we’re seeing the beginnings of dynamic pricing at a local level. Businesses are becoming empowered to reward loyal customers (come here often?), bring in new customers at slow times (come get discounts on school nights!), and, most notably, innovate past chalkboard specials.
Mobile dynamic pricing barely set foot through the doors of local businesses until recently, but early signs are hinting at a transformative model for offline businesses. Today, consumers are enjoying grabbing instant deals and generating their own deals; at the same time, credit card companies and marketers are joining in to reward activity. If done right, mobile dynamic pricing will spark a new, dynamic customer-business relationship, plus an extreme price-tag makeover everywhere.
Sam Altman is co-founder and CEO of Loopt, a company that builds mobile applications to help people enjoy the friends, places, and events around you right now. Sam sees mobile location as helping to make serendipity happen, completely transforming how people can and will communicate on their mobile devices. Since starting the company in 2005 while studying at Stanford University, Sam has consistently been recognized for his entrepreneurship. He was featured in Inc. Magazine’s Top 30 Entrepreneurs Under 30 and BusinessWeek’s Tech’s Best Entrepreneurs. As an early innovator in mobile location services, Sam joined Apple CEO Steve Jobs on stage at WWDC 2008, presenting Loopt as one of the first applications in the iPhone App Store. Sam has been a valuable source for many media outlets including Charlie Rose, CNN, The Economist, New York Times, Wall Street Journal and numerous others.