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EG36: The difference between rate card, pricing metrics and other pricing terms

Written by Emanuel Martonca
on January 24, 2022

Many times in the past 12 months I’ve had conversations that go like this.

Somebody: Pricing is about calculating the price I will charge to my customers, right?

Me: Not exactly. Calculating the price is just one of the steps. There are multiple other decisions that you have to make about pricing …

Somebody: Wait, what? Why? I just want to put a price in the project proposal.

Here is a list of terms that you might have read or heard about before. People around you might even use some of them interchangeably:

Rate card

Price list

Pricing metrics

Pricing model

Discounts

Unit prices

Budget

Pricing strategy

Price / budget / financial proposal

All of these need to be managed as part of the overall pricing architecture.

This is a simple visual guide on the differences and the relationship between them, as I use them in my projects:

Which one would you like to know more about?

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