marketing

Factor to consider Definition Contribution to the Justification total price ($) Price elasticity The sensitiveness of price to demand Newness How new is the product in the market Pricing relative to other Do not price in isolation company product Costs Contribution to fixed cost Penetration pricing Price low for market share. Make profits later Skimming price Start with a high price. Lower the price in parallel to costs later Psychological/ How much value the perceptual pricing customer thinks the product worths Discounts for Discounts to be intermediaries provided to intermediaries for cash, bulk, trade and seasonal buying Competitive pricing Pricing concerning competition $ Total price Justification Factor to consider Definition Contribution to the Justification total price ($) Price elasticity The sensitiveness of price to demand Newness How new is the product in the market Pricing relative to other Do not price in isolation company product Costs Contribution to fixed cost Penetration pricing Price low for market share. Make profits later Skimming price Start with a high price. Lower the price in parallel to costs later Psychological/ How much value the perceptual pricing customer thinks the product worths Discounts for Discounts to be intermediaries provided to intermediaries for cash, bulk, trade and seasonal buying Competitive pricing Pricing concerning competition $ Total price Justification