What we think

June 12, 2013

Your Google Adwords ROI is -75%

A paper from the National Bureau of Economic Research concluded that the ROI of search engine marketing are “a fraction of conventional estimates” and in the studied company […]
May 31, 2013

Adwords and Declining Profitability

A recent blog got quite a lot of attention recently when it decried the declining profitability of Google Adwords.  We’ve been predicting this for a while, […]
May 22, 2013

Reactive Devaluation and The Economics of “Free”

Imagine you’re in negotiations for a new job, and the hiring manager says “Well, we’ll throw in the ‘gold’ relocation package instead of the ‘silver'” at […]
May 20, 2013

The Offensive Linemen of Big Data

An NYT article finally calls out the unspoken heroes of big data: those who aggregate, collect, cleanse, and validate raw data before they are analyzed.  In […]
May 16, 2013

Online Price Discrimination: Neither Nefarious nor Unethical

Another day, another incendiary article up in arms about the fact that two people may see different prices at the same website. The truth of the […]
February 22, 2013

How NOT to communicate a Price Change

In some sectors changing price isn’t as easy as a new shelf sticker.  But that doesn’t mean it’s acceptable to communicate your price thoughtlessly, as APS […]
February 21, 2013

The Dangers of Retail Pricing Software

I once asked a contractor about those Central Vacs that have some houses have, and he shrugged and said “I’ve ripped just as many out as […]
December 20, 2012

Game Theory in Pricing

As firms grow in sophistication with their pricing capabilities, at some point they exhaust the opportunities that internal to their company, and start looking outside to […]