Readings pricing part 1

Question 1

What is the issue with price menus?

Answer 1

If a customer isn’t sure of the options, they will think that the seller is trying to manipulate them. (banking, energy companies)

Question 2

Name the forms of collaborative pricing and the customer imposed pricing.

Answer 2

Auctions, negotiations, and name your own price.

Pay as you wish

Question 3

What is the needs-based method?

Answer 3

Providing premium products but also cheap price products.

Question 4

What is pay for performance pricing?

Answer 4

The seller get paid more if the performance is good.

Question 5

How does price to drive market expansion work?

Answer 5

First look at the price and then determine the costs.