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(11) Pricing and credit strategies - Coggle Diagram
(11) Pricing and credit strategies
Potent forces
Competiton
Value
Shift to less expensive raw materials, if possible
Anticipate rising material costs and try to lock in prices early
Raise prices incrementally and consistently rather than large periodic increases
Emphasize the value your company provides to customers
Focus on improving efficiency everywhere in the company
Consider absorbing cost increases
Offer products in smaller sizes or quantities
Eliminate customer discounts, coupons, promotions
Modify the product or service to lower its cost
Surcharge rather than raise good or service price
Differentiate your company, products, services from competition
Communicate with customers
Perceived value
Objective value
Image
Pricing strategies and tactics
Introducing a new product
Penetration
Skimming
Objectives
Maintain market share as competition grows
Earn a profit
Get the product accepted
Evolutionary products
Revolutionary products
Me-too products
Pricing established goods and services
Price lining
Price anchoring
Fremium pricing
Odd pricing
Subscription pricing
Dynamic pricing
Follow-the-leader pricing
Suggested retail prices
Leader pricing
By-product pricing
Geographic pricing
Delivered pricing
F.O.B. factory
Zone pricing
Creative-product pricing
Discounts (markdowns)
Earned discounts
Limited-time offers (LTOs)
Steadily decreasing discount (SDD) VS standard hi-lo
Multiple-unit pricing
Optimal-product pricing
Bundling
Pricing strategies and methods for retailers
Markup
Pricing concepts for manufacturers
Direct costing and pricing
Computing the break-even selling price
Pricing strategies and methods for service firms
Impact of credit and debit cards and mobile wallets on pricing
debit cards
mobile (electronic) wallets
e-commerce and credit cards
installment cost
credit cards
trade credit
layaway