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The Art and Science of Pricing Financial ServicesResearch Papers Author: David Cracknell, Hermann Messan
Published: October 01, 2006
This paper briefly examines pricing as a determinant of customer’s choices. It tries to assess why pricing financial services are so difficult for users to understand. It also considers the pricing implications in evolution of “market-led” approach from “traditional” microfinance approach.
The paper also lays emphasis on the significance of transparency and mechanisms and policies to improve pricing transparency. It concludes with suggestions on how to price products and factors relevant for pricing different types of financial services, including savings, loans and e-banking products.