Pricing stratgies Flashcards
1
Q
price skimming
A
charging high price initially
2
Q
penetration pricing
A
charging low price initially
3
Q
predatory pricing
A
aims to eliminate competitors from the market, charge less than cost
4
Q
competitive pricing
A
look at what rivals are charging
5
Q
psychological pricing
A
set price slightly lower than round figure (ie £99.99 rather than £100), tricks customers into thinking it is significantly cheaper
6
Q
promotional pricing
A
temporarily pricing products below list price to increase short term sales
7
Q
dynamic pricing
A
product prices continuously adjust (based on external factors)
