Relationship-Based Pricing (RBP), also known as Relationship based Pricing is a concept in the banking industry. RBP is a pricing and billing framework where pricing is determined based on a customer's overall purchases and circumstances, rather than being delivered on a product-by-product basis. RBP enables banks to use customer-centric parameters to determine pricing, such as the level of overall business the customer does with a bank or the types of services purchased.
Financial services industry analysts like Celent and
TowerGroup endorse relationship-based pricing to improve profitability. A regional US bank and subsidiary of BNP Paribas,
Bank of the West, recently completed an RBP project.
Lot of leading banks as well as insurance companies in USA and Europe have adopted relationship based pricing by implementation of billing engines available from various product vendors.
Relationship based billing products:
* ORMB from
Oracle Corporation,
* miRevenue from
Zafin,
* Xelerate from SunTec.
Many system integrator firms in the IT industry nowadays focus on "Pricing & Billing" as a consulting/implementation practice as part of their business. We see global firms like Deloitte and Accenture focus on implementing products from companies listed above. Niche players lik
RIA Advisoryalso play a vital role in the "Pricing & Billing" domain.
See also
*
Demand-based pricing
Pricing is the Business process, process whereby a business sets the price at which it will sell its products and services, and may be part of the business's marketing plan. In setting prices, the business will take into account the price at wh ...
*
Dynamic pricing
Dynamic pricing, also referred to as surge pricing, demand pricing, or time-based pricing, is a pricing strategy in which businesses set flexible prices for products or services based on current market demands. Businesses are able to change pric ...
*
Premium pricing
Premium pricing (also called image pricing or prestige pricing) is the practice of keeping the price of one of the products or service artificially high in order to encourage favorable perceptions among buyers, based solely on the price. Premium re ...
or
Price premium
*
Pricing
*
Pricing science
*
Pricing strategies
*
Time-based pricing
Dynamic pricing, also referred to as surge pricing, demand pricing, or time-based pricing, is a pricing strategy in which businesses set flexible prices for products or services based on current market demands. Businesses are able to change pri ...
*
Value pricing or
Value-based purchasing
External links
ZafinSunTec's Xelerate Relationship-Based Pricing (RBP)
References
Pricing
{{Econ-stub