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Development of
Pricing Strategies
By Mohammad Amr
Bio
Nile University Egypt
Master's degree in the Management of Technology
Thesis Topic: Logistics 4.0 Implementation Framework
Helwan University, Egypt
Quality Auditor at TCTI Project at GIZ Egypt
Incubation Manager at Nile University
Project Manager at Ta’heal for Vocational Skills Excellence
Project Manager of Innovation pillar at IECC (Innovation,
Entrepreneurship and Competitiveness Centre) at Nile University.
Researcher and technology transfer officer at IECC, Nile
University
Entrepreneurship trainer at Injaz Egypt,
Lean consultant at Symbios-consulting Egypt
Co-founder and CEO of Kaizen for Biomedical industries
1. What does pricing mean for
you?
2. Price, Value and innovation
3. Pricing Vs Price
4. Defining the price
5. Adapting to price
6. Price Changes
What does pricing
mean for you?
Price is what you pay. Value is what you get
by Warren Buffet
Pricing Vs Price
Positioning
strategy
Customer Perceived Value
Value
Proposition
Positioning and Differentiation
• Positioning:
• Positioning is the mental image you
build about your brand
• Positioning could be on:
• Product
• Channel
• Personnel
• Image
• Value
Positioning and
Differentiation
• To create the right positioning you have to differentiate
your product
• Product differentiation includes:
Product form
Features
Performance
Conformance
Durability
Reliability
Reparability
Style
Design
Maintenance
Ordering ease
Delivery
Installation
Customer training
Customer consulting
17
Positioning statement summarizes company or brand positioning using
this form: To (target segment and need) our (brand) is (concept) that
(point of difference).
Ex. To small and medium enterprises who need to save costs , Kyan is
a wholesaler that have the financial resources and business partners that
enable him to perform bulk breaking and financing services to his
business buyers.
Positioning Statement
Price as a value
indicator
• Many consumers use price as an
indicator of quality (PRICE-QUALITY
INFERENCES)
• Many sellers believe prices should end
in an odd number. Customers see an
item priced at $299 as being in the
$200 rather than the $300 range
(PRICE ENDINGS )
• Another explanation for the popularity of “9”
endings is that they suggest a discount or
bargain, so if a company wants a high-price
image, it should probably avoid the odd-
ending tactic
Tell us your
story with
pricing
How can I
define the
best price?
Setting Prices
Step 1
Selecting the
Pricing
Objective
Step 2
Determining
Demand
Step 3
Estimating
Cost
Step 4
Analyzing
Competitors’
Costs, Prices,
and Offers
Step 5
Selecting a
Pricing
Method
Step 6
Selecting the
Final Price
Adapting the Price
Types of
Discounts
• Discount: A price reduction to buyers
who pay bills promptly.
• Quantity Discount: A price reduction
to those who buy large volumes.
• Functional Discount: Discount (also
called trade discount) offered by a
manufacturer to trade channel
• Seasonal Discount: A price
reduction to those who buy
merchandise or services out of
season.
• Allowance: An extra payment
designed to gain reseller participation
in special programs.
Price changes
Contact
Information:
Mohammad Amr
• Email:
m.amr.Badawy.eg@gmail.com
• Mobile No. and WhatsAPP:
01003049259
• LinkedIn:
https://www.linkedin.com/in/
mohammad-amr-80258942/
• SlideShare:
https://www.slideshare.net/M
ohammadAmr1

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Pricing and costing strategy.pptx

  • 2. Bio Nile University Egypt Master's degree in the Management of Technology Thesis Topic: Logistics 4.0 Implementation Framework Helwan University, Egypt Quality Auditor at TCTI Project at GIZ Egypt Incubation Manager at Nile University Project Manager at Ta’heal for Vocational Skills Excellence Project Manager of Innovation pillar at IECC (Innovation, Entrepreneurship and Competitiveness Centre) at Nile University. Researcher and technology transfer officer at IECC, Nile University Entrepreneurship trainer at Injaz Egypt, Lean consultant at Symbios-consulting Egypt Co-founder and CEO of Kaizen for Biomedical industries
  • 3. 1. What does pricing mean for you? 2. Price, Value and innovation 3. Pricing Vs Price 4. Defining the price 5. Adapting to price 6. Price Changes
  • 5.
  • 6.
  • 7.
  • 8. Price is what you pay. Value is what you get by Warren Buffet
  • 9.
  • 10.
  • 11.
  • 15. Positioning and Differentiation • Positioning: • Positioning is the mental image you build about your brand • Positioning could be on: • Product • Channel • Personnel • Image • Value
  • 16. Positioning and Differentiation • To create the right positioning you have to differentiate your product • Product differentiation includes: Product form Features Performance Conformance Durability Reliability Reparability Style Design Maintenance Ordering ease Delivery Installation Customer training Customer consulting
  • 17. 17 Positioning statement summarizes company or brand positioning using this form: To (target segment and need) our (brand) is (concept) that (point of difference). Ex. To small and medium enterprises who need to save costs , Kyan is a wholesaler that have the financial resources and business partners that enable him to perform bulk breaking and financing services to his business buyers. Positioning Statement
  • 18. Price as a value indicator • Many consumers use price as an indicator of quality (PRICE-QUALITY INFERENCES) • Many sellers believe prices should end in an odd number. Customers see an item priced at $299 as being in the $200 rather than the $300 range (PRICE ENDINGS ) • Another explanation for the popularity of “9” endings is that they suggest a discount or bargain, so if a company wants a high-price image, it should probably avoid the odd- ending tactic
  • 19. Tell us your story with pricing
  • 20. How can I define the best price?
  • 21. Setting Prices Step 1 Selecting the Pricing Objective Step 2 Determining Demand Step 3 Estimating Cost Step 4 Analyzing Competitors’ Costs, Prices, and Offers Step 5 Selecting a Pricing Method Step 6 Selecting the Final Price
  • 22.
  • 24. Types of Discounts • Discount: A price reduction to buyers who pay bills promptly. • Quantity Discount: A price reduction to those who buy large volumes. • Functional Discount: Discount (also called trade discount) offered by a manufacturer to trade channel • Seasonal Discount: A price reduction to those who buy merchandise or services out of season. • Allowance: An extra payment designed to gain reseller participation in special programs.
  • 26.
  • 27.
  • 28. Contact Information: Mohammad Amr • Email: m.amr.Badawy.eg@gmail.com • Mobile No. and WhatsAPP: 01003049259 • LinkedIn: https://www.linkedin.com/in/ mohammad-amr-80258942/ • SlideShare: https://www.slideshare.net/M ohammadAmr1