Marketing Agency
Specific Pricing Strategies New Product Pricing With a new product, competition does not exist or is minimal, hence the general pricing strategies depend on different factors. LEARNING OBJECTIVES Compare and contrast penetration pricing and skimming… Specific Pricing Strategies
Profit-Maximization Pricing Profit maximization analysis is the process by which a firm determines the price and output level that returns the greatest profit. LEARNING OBJECTIVES Describe profit maximization pricing relative to general pricing strategies KEY… Profit-Maximization Pricing
Markup Pricing Markup pricing is a strategy in which a company first calculates the cost of the product, then adds a proportion of it as markup. LEARNING OBJECTIVES Examine the rationale behind the use of… Markup Pricing
Competitor-Based Pricing Organizations that sell products or services may look at what price a product is generally being sold at and set that as a target for the sales price. LEARNING OBJECTIVES Understand why matching… Competitor-Based Pricing
Demand-Based Pricing Demand-based pricing is any pricing method that uses consumer demand – based on perceived value – as the central element. LEARNING OBJECTIVES Demonstrate the meaning of and the different types of demand-based pricing… Demand-Based Pricing
General Pricing Strategies Cost-Based Pricing Just as it sounds, cost-based pricing identifies the overall fixed, variable, and indirect costs of production and prices that product accordingly. LEARNING OBJECTIVES Grasp the concept of pricing based on… General Pricing Strategies
Product Quality Quality refers to the ability of a product or service to consistently meet or exceed customer requirements or expectations. LEARNING OBJECTIVES Identify the different aspects and determinants of product quality KEY TAKEAWAYS Key… Product Quality
Return on Investment Marketers should understand the position of their company and the returns expected when making adjustments in prices. LEARNING OBJECTIVES Explain why pricing objectives focus on delivering a return on investment (ROI) KEY… Why Pricing Objectives Focus on delivering Return on Investment
Pricing Objectives Survival Most executives pursue strategies that align pricing with revenue generation, enabling their organizations to survive and thrive long term. LEARNING OBJECTIVES Name the different factors that impact a company’s success and survival… Pricing Objectives
Inputs to Pricing Decisions Marginal Analysis Pricing decisions tend to heavily involve analysis regarding marginal contributions to revenues and costs. LEARNING OBJECTIVES Identify the characteristics of a marginal price analysis relative to pricing decision making… Inputs to Pricing Decisions