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The nice thing is that Amazon can basically continuously and automatically A/B test different price points for each app. Drop the price by a penny, is revenue
by ericflo 16y ago
The nice thing is that Amazon can basically continuously and automatically A/B test different price points for each app. Drop the price by a penny, is revenue better than projected over an hour? Ok, drop it by another penny, etc.
- Jabbles 16y agoTen years ago Amazon was burned by price testing. This seems an appropriate time to try again. http://www.computerworld.com/s/article/51392/Amazon_apologizes_for_price_testing_program_that_angered_customers http://www.computerworld.com/s/article/51392/Amazon_apologiz...
- wccrawford 16y agoBurned? It doesn't appear to have actually hurt them, and they ended up with better policies because of it. Doesn't sound like a burn to me. And that article even states that they will continue to have price a/b testing, just a more fair sort. They aren't 'trying again', they are continuing.
- brown9-2 16y agoIt might have been bad PR but you can bet they've never stopped testing.
- jonknee 16y agoThey still price test and have added nearly $80B in market cap since they were "burned", so I don't think they were burned too badly.