Marketing Mix : Price & Promotion Flashcards
What is the main pricing strategies for start ups? Why is this?
Cost + Pricing and Competitor based
Why is price important?
but it is the most important decision a marketer can make. Price is important to marketers because it represents marketers’ assessment of the value customers see in the product or service and are willing to pay for a product or service.
What is the relationship between price and demand? Is this the same for all products?
It is downward sloping indicating that between the price of a product and the quantity demanded a negative or inverse relationship exists. In other words, as the price declines the quantity demanded increases
When choosing a price what factors influence this decision?
Those factors include the offering’s costs, the demand, the customers whose needs it is designed to meet, the external environment—such as the competition, the economy, and government regulations. And also the 4ps
Analyse the likely methods of promotion that a startup would use?
Flyers- Flyers are used as they are cheap and can be bought in bulk easily and can be handed to anyone
Posters- Posters don’t move so many people are forced to look at them when in public areas so the promotion is constant whereas flyers can be thrown out
Additions- Additions can be cheap or expensive due to many orders making products go out of stock or become not available this means that they get more but can be harder to stock it
Internet- The Internet is cheap but people can block these using Adblock and can easily ignore it. However it cost little and doesn’t need much effort.
