Durable Brands Increase Monetization Power

Situation

• Madhavan Ramanujam, a leading pricing strategy expert, observed how his own willingness to pay for the Mission Impossible franchise increased significantly over time
• The franchise has released eight films over several decades, maintaining audience engagement and steadily building pricing power
• This represents a real-world example of a durable brand that successfully increased its monetization potential with each release
• The franchise faced the challenge common to all entertainment properties: how to maintain and grow value perception across multiple installments

Actions

• Long-term brand building: The Mission Impossible franchise invested in consistent quality and maintained core brand elements while evolving the product
• Sequential value delivery: Each film built upon previous installments, creating a cumulative value proposition rather than standalone experiences
• Audience loyalty cultivation: The franchise focused on retaining its core audience while expanding to new viewers
• Value-based pricing: The franchise likely adjusted pricing strategies based on the growing perceived value of the franchise, not just inflation
• Consistent quality delivery: Maintained production values and storytelling quality across installments

Results

• Increased willingness to pay: Madhavan noted he "would have paid whatever they wanted" for the eighth film
• Sustained franchise success: The Mission Impossible series has maintained commercial viability across multiple decades
• Enhanced pricing power: The franchise gained the ability to command premium pricing for later installments
• Durable brand value: Created an entertainment property with enduring appeal and growing monetization potential

Key Lessons

• Value perception compounds over time: A well-managed product can increase customer willingness to pay with each iteration
• Pricing power is earned: Consistent quality delivery builds the foundation for increased monetization
• Customer loyalty enables premium pricing: Dedicated customers become less price-sensitive as their connection to the product deepens
• Monetization strategy should evolve: As your product matures and proves its value, pricing strategies should adapt to capture more of that value
• Long-term thinking pays off: Short-term profit maximization can undermine the potential for building durable pricing power
• Focus on both market share and wallet share: The franchise maintained its audience (market share) while increasing revenue per customer (wallet share)

This case demonstrates how businesses should view pricing as a strategic journey rather than a static decision, with the potential to steadily increase monetization power as they build a durable, value-delivering brand.