Digital Pricing in Japan

Abstract

Increased digitalization in business has influenced how to price products and services. Such an innovation in pricing is called digital pricing. For instance, application of Artificial Intelligence (AI) has helped to introduce dynamic pricing in certain product or service industries. Some companies have applied a subscription business model to their business in order to retain their customers. In contrast, others are forced to be withdrawn from their business due to failure of their pricing system. The purpose of this paper is to identify the factors to succeed digital pricing and to clarify further issues to deal with in digital pricing.