Optimizing Price Strategies: Achieving Remarkable Success Despite High Costs

Many players are looking forward to this successor. Lenovo‘s first Legion Go Calculation PC came with many new ideas at the end of 2023, which eliminated it from other handheld PCs: a larger 8.8-inch screen with a higher 1600p resolution, two USB connections, removable controllers, one of which can be used as a mouse replacement, with 16 GB for the device too little RAM, a relatively small battery, a bad update policy and the initially very criticized Legion space surface.

The successor, which was first played at IFA 2025, should now make a lot better: for example with OLED screen (but only with 1200p resolution), better speakers and an APU up to Ryzen 2 extremes. Since a lot remains the same and only a little was improved in the basic variant, many fans assumed a similar price to the first handheld that came onto the market for 799 euros. But Lenovo increased the price of the Z2 variant to 999 euros, the better variant with the Ryzen 2 extreme, sensible 32 GB RAM and 2-TB hard drive based on Zen 5 should probably cost a whopping 1,499 euros (with 1 TB probably 1 TB). We have listed a comparison of the first and second iteration of the handheld.

So one could have assumed that potential buyers were rather deterred due to the price. But the opposite seems to be the case. In the United States, Lenovo now had to partially cancel orders for the Legion Go 2, as the demand simply exceeds expectations. The company speaks on Reddit and announces that you can deliver further devices to retailers, which should lead to higher availability. However, they had to cancel orders in the Lenovo online shop and currently set the device to “not available”.

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A user from Germany reports that his pre -order until September 22nd to September 23rd to October 10th and now again on November 26th. was moved. Lenovo is apparently trying to operate open communication, but the whole thing looks more after extinguishing a fire that has already arisen instead of avoiding a fire in advance.

Will you buy a Lenovo Legion Go 2? What do you say at the prices of the handheld? Use the comment function and let us know your opinion. When commenting, please note the Forum rules. Also follow us for news in the hardware world or our exclusive content Whatsapp and X. You can find our video content (often seasoned with a pinch of humor) Youtube, Instagram and Tiktok.

Those: Lenovo, via Reddit

How can businesses effectively communicate the value proposition to justify higher prices amidst rising costs?

understanding the current Economic Landscape & Pricing Challenges

The reality for many businesses in 2025 is navigating significantly increased costs – from raw materials and supply chain disruptions to labor shortages and rising energy prices. Simply passing these costs onto consumers isn’t always viable. A robust pricing strategy is no longer just about maximizing profit margins; it’s about survival and sustained growth. This requires a shift in thinking, moving beyond cost-plus pricing to value-based approaches and dynamic adjustments. Recent data, like the stats NZ CPI reports (as of May 1, 2025, noting issues with vehicle relicensing fee inclusion in the March 2025 quarter data), highlights the volatility impacting cost calculations and the need for agile pricing models.

Value-Based Pricing: Focusing on Customer Perception

Instead of solely focusing on your costs, value-based pricing centers on what your customers perceive your product or service to be worth.This is a powerful strategy when facing high costs as it allows you to justify a price point that reflects the benefits delivered, not just the expenses incurred.

* Identify Your Unique Value Proposition (UVP): What makes you different? Is it superior quality, exceptional customer service, innovative features, or a strong brand reputation?

* Customer research is Key: Conduct surveys, interviews, and analyze customer data to understand their willingness to pay. What problems are you solving for them? How much are those solutions worth?

* Quantify the benefits: Translate intangible benefits into measurable value. For example, “saves you 10 hours per week” or “reduces energy consumption by 20%.”

Dynamic Pricing: Adapting to Market Fluctuations

dynamic pricing involves adjusting prices in real-time based on factors like demand, competitor pricing, seasonality, and even individual customer behavior. This is particularly effective in industries with fluctuating costs or high price sensitivity.

* Demand-Based Pricing: Increase prices during peak demand and lower them during slow periods. Think of airline tickets or hotel rooms.

* Competitor-Based Pricing: Monitor competitor prices and adjust yours accordingly. This doesn’t necessarily mean undercutting them; it could mean highlighting your superior value.

* Cost-Plus Pricing with a Dynamic Modifier: Start with your cost-plus calculation,but add a modifier based on market conditions.

* utilize Pricing Software: Tools like Prisync, RepricerExpress, and others can automate dynamic pricing adjustments.

Cost Reduction Strategies: A Complementary Approach

Optimizing your pricing strategy shouldn’t be the only response to high costs. Simultaneously pursuing cost reduction measures is crucial.

* Supply Chain Optimization: Negotiate better rates with suppliers, explore alternative sourcing options, and streamline your logistics.

* Process Automation: Automate repetitive tasks to reduce labor costs and improve efficiency.

* Waste Reduction: Identify and eliminate waste in all areas of your business.

* Energy Efficiency: Invest in energy-efficient equipment and practices to lower utility bills.

Psychological Pricing Tactics: Influencing Customer Behavior

Subtle psychological tactics can significantly impact purchasing decisions.

* Charm Pricing: ending prices in .99 or .95 creates the illusion of a lower price. ($9.99 vs. $10.00)

* Prestige Pricing: Setting high prices to convey exclusivity and quality.(Luxury brands often employ this tactic.)

* Bundling: Offering multiple products or services together at a discounted price.

* Anchoring: Presenting a higher-priced option first to make subsequent options seem more affordable.

The Role of Transparency & Communication

In times of rising costs, transparency with your customers is paramount. Explain why prices are increasing,and emphasize the value they continue to recieve.

* Proactive Communication: Don’t wait for customers to complain. Communicate price changes in advance.

* Highlight Value: Remind customers of the benefits they receive from your products or services.

* Offer Alternatives: If possible, provide customers with different options at varying price points.

* Build Trust: Honesty and transparency build trust, which is essential for long-term customer loyalty.

Case Study: The Restaurant Industry & Menu Engineering

The restaurant industry has been particularly impacted by rising food costs. Prosperous restaurants are employing menu engineering – a technique that analyzes the profitability and popularity of each menu item.

* Stars: High profitability, high popularity – keep these items prominent.

* Plowhorses: Low profitability, high popularity – consider increasing the price or reducing portion size.

* Puzzles: High profitability, low popularity – reposition these items on the menu or offer promotions.

* Dogs: Low profitability, low popularity – remove these items from the menu.

This data-driven approach allows restaurants to optimize their menus and maximize profitability despite rising ingredient costs.

Leveraging Technology for Pricing Optimization

Several technologies can assist in developing and implementing effective pricing strategies.

* pricing Analytics Software: Provides insights into customer behavior, competitor pricing, and market trends.

* A/B Testing: