This document discusses pricing strategies and concepts. It covers the importance and objectives of pricing, factors to consider in pricing like costs and competitors, pricing strategies like cost-based, demand-based and competitor-based approaches. It also discusses concepts of costing for pricing like fixed costs, variable costs, contribution, break even point and margin pricing. The document provides examples and formulas to explain these pricing concepts.
Introduction to Sales Management – The Sales Organization
– Determining Sales Related Marketing Policies – Sales
Functions and Policies – International Sales Management
– Personal Selling.
Sales Planning – Sales Budgets – Estimating Market
Potential and Forecasting Sales – Sales Quotes – Sales &
Cost Analysis, Sales Force Management: Hiring and Training Sales
Personnel – Time and Territory Management –Compensating Sales Personnel – Motivating the Sales Force
– Leading the Sales Force – Evaluating Sales Force
Performance.
Marketing Logistics - Distribution as Marketing Mix
Element – Distribution Resource Planning – Marketing
Channel Integration – Channel Management – Nature of
Marketing Channels – Evaluating Channel Performance-
Specialized Techniques in selling – Tele Marketing – Web
Marketing
Distribution Cost Analysis: Managing Channel Conflicts –
Channel Information Systems – Wholesaling – Retailing –
Ethical And Social Issues in Sales and Distribution
Management.
Introduction of Marketing, Definitions, Core concept of Marketing, Marketing Management, Marketing Mix, Marketing Environment, Sales VS Marketing, Function of Marketing, Evolution of Marketing,
Introduction to Sales Management – The Sales Organization
– Determining Sales Related Marketing Policies – Sales
Functions and Policies – International Sales Management
– Personal Selling.
Sales Planning – Sales Budgets – Estimating Market
Potential and Forecasting Sales – Sales Quotes – Sales &
Cost Analysis, Sales Force Management: Hiring and Training Sales
Personnel – Time and Territory Management –Compensating Sales Personnel – Motivating the Sales Force
– Leading the Sales Force – Evaluating Sales Force
Performance.
Marketing Logistics - Distribution as Marketing Mix
Element – Distribution Resource Planning – Marketing
Channel Integration – Channel Management – Nature of
Marketing Channels – Evaluating Channel Performance-
Specialized Techniques in selling – Tele Marketing – Web
Marketing
Distribution Cost Analysis: Managing Channel Conflicts –
Channel Information Systems – Wholesaling – Retailing –
Ethical And Social Issues in Sales and Distribution
Management.
Introduction of Marketing, Definitions, Core concept of Marketing, Marketing Management, Marketing Mix, Marketing Environment, Sales VS Marketing, Function of Marketing, Evolution of Marketing,
Introduction to Sales Management – The Sales Organization
– Determining Sales Related Marketing Policies – Sales
Functions and Policies – International Sales Management
– Personal Selling.
Sales Planning – Sales Budgets – Estimating Market
Potential and Forecasting Sales – Sales Quotes – Sales &
Cost Analysis, Sales Force Management: Hiring and Training Sales
Personnel – Time and Territory Management –Compensating Sales Personnel – Motivating the Sales Force
– Leading the Sales Force – Evaluating Sales Force
Performance.
Marketing Logistics - Distribution as Marketing Mix
Element – Distribution Resource Planning – Marketing
Channel Integration – Channel Management – Nature of
Marketing Channels – Evaluating Channel Performance-
Specialized Techniques in selling – Tele Marketing – Web
Marketing
Distribution Cost Analysis: Managing Channel Conflicts –
Channel Information Systems – Wholesaling – Retailing –
Ethical And Social Issues in Sales and Distribution
Management.
A STUDY ON THE ROLE OF MARKETING MIX ON CUSTOMER SATISFACTION AT KMMLAkash Raghunath
The study will be a significant enhance in finding the role
of marketing mix elements on customer satisfaction and
will be beneficial for both company and their industrial
customers.
Market Analysis - Meaning, Dimensions of a Market, Sales Forecasting - Meaning, Short Term Forecasts, Medium Term Forecast, Long Term Forecast, Importance of Sales Forecasting, Methods of Sales Forecasting - Qualitative
Techniques, Expert Opinion, Delphi Technique, Consumer
Survey, Method Sales Force, Estimate Sales Hierarchy Estimate, Quantitative Techniques, Moving Averages, Sales Ratio Method. Market Share Projection, Regression Analysis,
Sales Quota - Meaning, Types of Sales Quota, Sales Value or Financial Quota, Sales Volume Quota, Activity, Combination Quota, Factors Determining Fixation of Sales Quota, Sales Territory, Reasons - Setting up or Reviewing Sales Territories, Assigning Salesman to Territories, Use of IT in Territory Management, Reasons/Advantages of Setting Sales Territories,
Selling, Process of Selling, Methods of Closing Sales, Reasons for Unsuccessful Closing, Theories of Selling, Stimulus – Response Theory, Product Orientation Theory, Need Satisfaction Theory, Selling Skills, Conflict Management in Sales, Task Process, Process Process, Relationship Process, Functional Conflict, Dysfunctional Conflict, Methods to Resolve Conflicts. Consumer Selling v/s Organizational Selling, National Selling v/s International Selling
Introduction to Sales Management – The Sales Organization
– Determining Sales Related Marketing Policies – Sales
Functions and Policies – International Sales Management
– Personal Selling.
Sales Planning – Sales Budgets – Estimating Market
Potential and Forecasting Sales – Sales Quotes – Sales &
Cost Analysis, Sales Force Management: Hiring and Training Sales
Personnel – Time and Territory Management –Compensating Sales Personnel – Motivating the Sales Force
– Leading the Sales Force – Evaluating Sales Force
Performance.
Marketing Logistics - Distribution as Marketing Mix
Element – Distribution Resource Planning – Marketing
Channel Integration – Channel Management – Nature of
Marketing Channels – Evaluating Channel Performance-
Specialized Techniques in selling – Tele Marketing – Web
Marketing
Distribution Cost Analysis: Managing Channel Conflicts –
Channel Information Systems – Wholesaling – Retailing –
Ethical And Social Issues in Sales and Distribution
Management.
A STUDY ON THE ROLE OF MARKETING MIX ON CUSTOMER SATISFACTION AT KMMLAkash Raghunath
The study will be a significant enhance in finding the role
of marketing mix elements on customer satisfaction and
will be beneficial for both company and their industrial
customers.
Market Analysis - Meaning, Dimensions of a Market, Sales Forecasting - Meaning, Short Term Forecasts, Medium Term Forecast, Long Term Forecast, Importance of Sales Forecasting, Methods of Sales Forecasting - Qualitative
Techniques, Expert Opinion, Delphi Technique, Consumer
Survey, Method Sales Force, Estimate Sales Hierarchy Estimate, Quantitative Techniques, Moving Averages, Sales Ratio Method. Market Share Projection, Regression Analysis,
Sales Quota - Meaning, Types of Sales Quota, Sales Value or Financial Quota, Sales Volume Quota, Activity, Combination Quota, Factors Determining Fixation of Sales Quota, Sales Territory, Reasons - Setting up or Reviewing Sales Territories, Assigning Salesman to Territories, Use of IT in Territory Management, Reasons/Advantages of Setting Sales Territories,
Selling, Process of Selling, Methods of Closing Sales, Reasons for Unsuccessful Closing, Theories of Selling, Stimulus – Response Theory, Product Orientation Theory, Need Satisfaction Theory, Selling Skills, Conflict Management in Sales, Task Process, Process Process, Relationship Process, Functional Conflict, Dysfunctional Conflict, Methods to Resolve Conflicts. Consumer Selling v/s Organizational Selling, National Selling v/s International Selling
Making the Argument for Learning Science in Informal Environments - Math in z...K L
Making the Argument for Learning Science in Informal Environments
Level: Intermediate
Demonstrating evidence of learning is becoming critical for museums in securing funding. Yet most evaluation measures do not reflect what goes on in informal environments. The National Academy’s recently summarized research on informal science learning, helping museum professionals make the case for programs. We will review that report (Martin, Arizona Science Center, was a co-author); findings from a national staff development project headed by the Phoenix Zoo (Hebert); and, findings from a visitor survey about conservation learning, conducted at the Arizona-Sonora Desert Museum (Colodner).
The report is important because it broadens the definition of science learning to include motivation, interest, and identity. The Phoenix Zoo project looked at how different institutions supported staff to integrate mathematics into interpretation and how differences in motivation for participating in training influenced staff learning. The Desert Museum conducted a survey on learning about conservation through interactions with docents, looking at changes in visitor knowledge and intentions. Their results allowed them to reflect on the types of interactions they are facilitating.
Discussion will highlight whether the ideas apply to learning in other kinds of museums. Naylor (Arizona Department of Education) represents the stakeholder voice, justifying field trips and other informal programs as valid educational experiences.
Chair: Mary Lou Naylor, Education Program Specialist, Arizona Department of Education
Panelists: Laura Martin, Director of Science Interpretation, Arizona Science Center; Gabrielle Hebert, Director of Visitor Experiences, The Phoenix Zoo; Debra Colodner, Director of Education, Arizona Sonora Desert Museum
This is a brand guide for Zoo Charlotte and their partners Latta Farms and The Carolina Raptor Center. This book gives details on each of their logo's and how they should be implemented.
Pricing should be a critical issue for the CEO as it is one of the most powerful levers in the business. Successful pricing also depends on clear goal and strategy alignment, which is the role of the CEO. This presentation was made in Seattle to a group of business leaders interested in improving pricing leadership.
New-Product Pricing Strategies
Product Mix Pricing Strategies
Price Adjustment Strategies
Price Changes
Market-skimming pricing is a strategy with high initial prices to “skim” revenue layers from the market
Product quality and image must support the price
Buyers must want the product at the price
Costs of producing the product in small volume should not cancel the advantage of higher prices
Competitors should not be able to enter the market easily
Market-penetration pricing sets a low initial price in order to penetrate the market quickly and deeply to attract a large number of buyers quickly to gain market share
Price-sensitive market
Inverse relationship of production and distribution cost to sales growth
Low prices must keep competition out of the market
"𝑩𝑬𝑮𝑼𝑵 𝑾𝑰𝑻𝑯 𝑻𝑱 𝑰𝑺 𝑯𝑨𝑳𝑭 𝑫𝑶𝑵𝑬"
𝐓𝐉 𝐂𝐨𝐦𝐬 (𝐓𝐉 𝐂𝐨𝐦𝐦𝐮𝐧𝐢𝐜𝐚𝐭𝐢𝐨𝐧𝐬) is a professional event agency that includes experts in the event-organizing market in Vietnam, Korea, and ASEAN countries. We provide unlimited types of events from Music concerts, Fan meetings, and Culture festivals to Corporate events, Internal company events, Golf tournaments, MICE events, and Exhibitions.
𝐓𝐉 𝐂𝐨𝐦𝐬 provides unlimited package services including such as Event organizing, Event planning, Event production, Manpower, PR marketing, Design 2D/3D, VIP protocols, Interpreter agency, etc.
Sports events - Golf competitions/billiards competitions/company sports events: dynamic and challenging
⭐ 𝐅𝐞𝐚𝐭𝐮𝐫𝐞𝐝 𝐩𝐫𝐨𝐣𝐞𝐜𝐭𝐬:
➢ 2024 BAEKHYUN [Lonsdaleite] IN HO CHI MINH
➢ SUPER JUNIOR-L.S.S. THE SHOW : Th3ee Guys in HO CHI MINH
➢FreenBecky 1st Fan Meeting in Vietnam
➢CHILDREN ART EXHIBITION 2024: BEYOND BARRIERS
➢ WOW K-Music Festival 2023
➢ Winner [CROSS] Tour in HCM
➢ Super Show 9 in HCM with Super Junior
➢ HCMC - Gyeongsangbuk-do Culture and Tourism Festival
➢ Korean Vietnam Partnership - Fair with LG
➢ Korean President visits Samsung Electronics R&D Center
➢ Vietnam Food Expo with Lotte Wellfood
"𝐄𝐯𝐞𝐫𝐲 𝐞𝐯𝐞𝐧𝐭 𝐢𝐬 𝐚 𝐬𝐭𝐨𝐫𝐲, 𝐚 𝐬𝐩𝐞𝐜𝐢𝐚𝐥 𝐣𝐨𝐮𝐫𝐧𝐞𝐲. 𝐖𝐞 𝐚𝐥𝐰𝐚𝐲𝐬 𝐛𝐞𝐥𝐢𝐞𝐯𝐞 𝐭𝐡𝐚𝐭 𝐬𝐡𝐨𝐫𝐭𝐥𝐲 𝐲𝐨𝐮 𝐰𝐢𝐥𝐥 𝐛𝐞 𝐚 𝐩𝐚𝐫𝐭 𝐨𝐟 𝐨𝐮𝐫 𝐬𝐭𝐨𝐫𝐢𝐞𝐬."
Business Valuation Principles for EntrepreneursBen Wann
This insightful presentation is designed to equip entrepreneurs with the essential knowledge and tools needed to accurately value their businesses. Understanding business valuation is crucial for making informed decisions, whether you're seeking investment, planning to sell, or simply want to gauge your company's worth.
Improving profitability for small businessBen Wann
In this comprehensive presentation, we will explore strategies and practical tips for enhancing profitability in small businesses. Tailored to meet the unique challenges faced by small enterprises, this session covers various aspects that directly impact the bottom line. Attendees will learn how to optimize operational efficiency, manage expenses, and increase revenue through innovative marketing and customer engagement techniques.
Remote sensing and monitoring are changing the mining industry for the better. These are providing innovative solutions to long-standing challenges. Those related to exploration, extraction, and overall environmental management by mining technology companies Odisha. These technologies make use of satellite imaging, aerial photography and sensors to collect data that might be inaccessible or from hazardous locations. With the use of this technology, mining operations are becoming increasingly efficient. Let us gain more insight into the key aspects associated with remote sensing and monitoring when it comes to mining.
India Orthopedic Devices Market: Unlocking Growth Secrets, Trends and Develop...Kumar Satyam
According to TechSci Research report, “India Orthopedic Devices Market -Industry Size, Share, Trends, Competition Forecast & Opportunities, 2030”, the India Orthopedic Devices Market stood at USD 1,280.54 Million in 2024 and is anticipated to grow with a CAGR of 7.84% in the forecast period, 2026-2030F. The India Orthopedic Devices Market is being driven by several factors. The most prominent ones include an increase in the elderly population, who are more prone to orthopedic conditions such as osteoporosis and arthritis. Moreover, the rise in sports injuries and road accidents are also contributing to the demand for orthopedic devices. Advances in technology and the introduction of innovative implants and prosthetics have further propelled the market growth. Additionally, government initiatives aimed at improving healthcare infrastructure and the increasing prevalence of lifestyle diseases have led to an upward trend in orthopedic surgeries, thereby fueling the market demand for these devices.
Accpac to QuickBooks Conversion Navigating the Transition with Online Account...PaulBryant58
This article provides a comprehensive guide on how to
effectively manage the convert Accpac to QuickBooks , with a particular focus on utilizing online accounting services to streamline the process.
The world of search engine optimization (SEO) is buzzing with discussions after Google confirmed that around 2,500 leaked internal documents related to its Search feature are indeed authentic. The revelation has sparked significant concerns within the SEO community. The leaked documents were initially reported by SEO experts Rand Fishkin and Mike King, igniting widespread analysis and discourse. For More Info:- https://news.arihantwebtech.com/search-disrupted-googles-leaked-documents-rock-the-seo-world/
Affordable Stationery Printing Services in Jaipur | Navpack n PrintNavpack & Print
Looking for professional printing services in Jaipur? Navpack n Print offers high-quality and affordable stationery printing for all your business needs. Stand out with custom stationery designs and fast turnaround times. Contact us today for a quote!
As a business owner in Delaware, staying on top of your tax obligations is paramount, especially with the annual deadline for Delaware Franchise Tax looming on March 1. One such obligation is the annual Delaware Franchise Tax, which serves as a crucial requirement for maintaining your company’s legal standing within the state. While the prospect of handling tax matters may seem daunting, rest assured that the process can be straightforward with the right guidance. In this comprehensive guide, we’ll walk you through the steps of filing your Delaware Franchise Tax and provide insights to help you navigate the process effectively.
Premium MEAN Stack Development Solutions for Modern BusinessesSynapseIndia
Stay ahead of the curve with our premium MEAN Stack Development Solutions. Our expert developers utilize MongoDB, Express.js, AngularJS, and Node.js to create modern and responsive web applications. Trust us for cutting-edge solutions that drive your business growth and success.
Know more: https://www.synapseindia.com/technology/mean-stack-development-company.html
Discover the innovative and creative projects that highlight my journey throu...dylandmeas
Discover the innovative and creative projects that highlight my journey through Full Sail University. Below, you’ll find a collection of my work showcasing my skills and expertise in digital marketing, event planning, and media production.
Skye Residences | Extended Stay Residences Near Toronto Airportmarketingjdass
Experience unparalleled EXTENDED STAY and comfort at Skye Residences located just minutes from Toronto Airport. Discover sophisticated accommodations tailored for discerning travelers.
Website Link :
https://skyeresidences.com/
https://skyeresidences.com/about-us/
https://skyeresidences.com/gallery/
https://skyeresidences.com/rooms/
https://skyeresidences.com/near-by-attractions/
https://skyeresidences.com/commute/
https://skyeresidences.com/contact/
https://skyeresidences.com/queen-suite-with-sofa-bed/
https://skyeresidences.com/queen-suite-with-sofa-bed-and-balcony/
https://skyeresidences.com/queen-suite-with-sofa-bed-accessible/
https://skyeresidences.com/2-bedroom-deluxe-queen-suite-with-sofa-bed/
https://skyeresidences.com/2-bedroom-deluxe-king-queen-suite-with-sofa-bed/
https://skyeresidences.com/2-bedroom-deluxe-queen-suite-with-sofa-bed-accessible/
#Skye Residences Etobicoke, #Skye Residences Near Toronto Airport, #Skye Residences Toronto, #Skye Hotel Toronto, #Skye Hotel Near Toronto Airport, #Hotel Near Toronto Airport, #Near Toronto Airport Accommodation, #Suites Near Toronto Airport, #Etobicoke Suites Near Airport, #Hotel Near Toronto Pearson International Airport, #Toronto Airport Suite Rentals, #Pearson Airport Hotel Suites
1. PRICINGPRICING ( for SIKSIL 2017)( for SIKSIL 2017)
Maxwell RanasingheMaxwell Ranasinghe
B.Sc. ( Business Administration)B.Sc. ( Business Administration)
Hons. MAAT, Attorney at Law,Hons. MAAT, Attorney at Law,
CPM ( New Haven- USA)CPM ( New Haven- USA)
2. PRICINGPRICING
• IMPORTANCE OF PRICING
• PRICING OBJECTIVES
• FACTORS TO CONSIDER IN PRICING
• CONCEPTS OF COSTING FOR PRICING
• PRICING STRATEGIES
• SETTING THE FINAL PRICE
3. Pricing the revenue makerPricing the revenue maker
• The Price is the amount of
money, goods or services
that must be offered to get
a product ( sum of all the
values that consumers
exchange for the benefit of
having or using the
product or service)
• Price is expressed in
different terms such as
Rent, Tuition fees, fare,
interest, premium, salary,
taxes and commissions
4. Role and importance of pricingRole and importance of pricing
- it generates income
- it influences buyer
- it is the most flexible
- it could lead to gain or loose market
- Customers often equate price with quality
- Price connects customers and sellers at the
point of exchange
- Customers often use price to compare
competing products
- for certain products price could be main criteria in
selection
5. Pricing ObjectivesPricing Objectives
• Financial Objectives
• Profit - Return of investment
• - Profit maximisation
• Cash Flow
• Sales and Marketing Objectives
Market Share and Positioning
Volume of sales
Status Quo
• Survival ( cover expenses in short run)
6. Factors to be considered inFactors to be considered in
pricingpricing
• Cost of the product
• Customers
• Channel requirements
• Competitors
• Compatible with objective of the company
& other Ps of M Mix
• Legal aspects
• Principals of Taxation
7. Pricing should be in line withPricing should be in line with
other elements of the marketingother elements of the marketing
mixmix
- The positioning of the product
- Quality of the product
- Distribution
- Promotion
- Persons involved in the product
- Processes adopted
- Physical evidence
9. Concepts of Setting PricesConcepts of Setting Prices
• Price Sensitivity- The general trend is that people are
sensitive to prices on items that are purchased regularly and the
items that cost a lot. They are less sensitive to prices on products
that they do not buy regularly and to the items that cost less.
• Estimating Demand Curves- This will allow the
marketer to find out demand at different levels of pricing, charge
different prices at different markets, offer discounts at selected
outlets to find out the demand.
• Price Elasticity of Demand- The percentage of
demand that changes with the percentage of change in the price is elasticity
of the demand. If price changes 10% and the demand changes at a higher
rate ( e.g.. 20%) then the demand is elastic. If the price changes 10% and
the demand changes at a lower rate ( e.g. 5%) then the demand is inelastic
10. Concepts of costing for pricingConcepts of costing for pricing
• Cost and Levels of production- There are three types of
cost that is Fixed Cost( FC) ,Variable Cost (VC) and
Total Cost (TC)
• Fixed Cost (FC) does not change with the increased
production e.g. Rent, Rates and Loan Interest.
• E.g. Monthly rent Rs. 100,000 will have to pay even if
there is no production or even if there is a production of
10,000 units
• Variable Cost (VC)
• The cost that changes with the increased production.
E.g.. Raw materials
• Total Cost ( TC)
• The sum of the FC and the VC
11. • Contribution
• Contribution is the amount that contributed by
sales to recover the Fixed Cost when Variable
Cost is deducted from the Sales Price.
• Selling Price (Rs. 40) – Variable Cost ( Rs. 15)=
Contribution (Rs. 25)
• So the contribution will help a firm to find out
many important aspects such as Break Even
Point, how many should be manufactured to
earn a given amount of profits etc,.
12. Costing FormulasCosting Formulas
• Fixed Cost (FC)
• Selling Price (SP)
• Contribution per unit (CPU)= SP-VC
• Break Even Point= Income=Total
Expenses( No profit or loss)
• Units to BEP= FC/CPU
• Units to Expected profit= FC+Profit/CPU
13. Cost and PricesCost and Prices
• A garment industry is sewing socks and
the cost elements are as follows
• Fixed Cost Rs. 100,000
• Variable Cost Rs. 15 per unit
• Selling Price is Rs. 40.00
• What is the BEP ?
• If the company wants to earn a profit of
Rs. 200,000 how many units it should
manufacture ?
14. Variable costVariable cost
Production -
Units
Cloths
meter
p/u
Price
Per
meter
Variable Cost
0 1.5 10 0
1000 1.5 10 15000
2500 1.5 10 37500
5000 1.5 10 75000
6250 1.5 10 93750
15. Fixed CostFixed Cost
Units produced Fixed cost-
e.g. Rent
Total Fixed cost
0 100000 100000
1000 100000 100000
2500 100000 100000
5000 100000 100000
6250 100000 100000
16. Total Cost & IncomeTotal Cost & Income
Units
produce
d
Variable
Cost=VC
@ 15 per
unit
Fixed
cost =FC
Total
Cost
VC+FC
Total
Income
Selling
Price Rs.
40.00
0 0 100000 100000 0
1000 15000 100000 115000 40000
2500 37500 100000 137500 100000
5000 75000 100000 175000 200000
6250 93750 100000 193750 250000
18. • Break Even Point
• Sale Price Rs. 40.00
• Variable Cost Rs. 15.00
• Contribution ( 40- 15) Rs. 25.00
• BEP = Fixed Cost
• Contribution
• BEP = 100000 = 4000
• 25
• Once the BEP is reached all the FC is recovered. Then
the contribution becomes a profit. The you can
manipulate the pricing in many ways.
19. • How many items should be manufactured to
earn a profit of Rs. 200,000
• FC + Profit
• CPU
• 100000 + 200000 = 12000
• 25
• 40 x 12000 = 480,000
• VC 15 x 12000 = 180,000
• FC = 100,000
• Profit = 200,000
22. Cost or Company Oriented PricingCost or Company Oriented Pricing
• Cost plus pricing/ Mark up pricing. ( determine the sellers
total cost and then add a specified amount of percentage.
A company may have an idea of what profit it should
earn. Therefore after taking all internal cost factors into
consideration, this predetermined profit margin from the
cost will be added to the cost. It is called the mark up )
• . E.g. What would be the price of a product costing Rs.
16.00, if Markup on cost is 20%
• Mark up on cost : 16 x 1+.20 = 19.20
23. • Margin on sales price pricing
• The difference in this calculation is that
profit margin is based on sales price not
the cost of the product is given for
calculation
• Cost Rs. 16.00 calculate the price with a
mark up/ margin of 20% on sales
24. Margin on salesMargin on sales
• formula = cost
• 1 – markup
16
1 – (20/100)
Rs. 20.00
25. Customer Oriented PricingCustomer Oriented Pricing
StrategyStrategy
• Market Skimming ( innovative, inelastic
demand, high value, high demand and
low supply – e.g.. celltel)
• Market Penetrating( “mee too” products,
quick entry into market, greater volume to
achieve to get economies of scale, greater
market to catch)
• Psychological ( emotional factor, image,
quality e.g.. Bata 999.90 rather than Rs.
1000 , Rolex very high price and image)
26. • Value based ( customer perceived value,
find out how much customers are willing to pay
for the product through market research)
• Promotional Pricing Strategy ( Cash
rebates- Special event pricing- Loss leader
( setting low prices on certain items and attracting
customers and assuming they will by other products at
normal prices)- Low Interest Deals – Group Pricing
27. Competitor Oriented PricingCompetitor Oriented Pricing
• Competitive bid pricing( matching or improving
over the competitors price. Especially used in Tenders.
You need to know the market well and the requirements
of the customer well to quote price in this format)
• Competitive advantage pricing ( Price may be
the same but you offer additional services E.g. Petrol
shed offers free window cleaning for customer who
pump petrol in their station)
29. Setting the final priceSetting the final price
Cost 12500
Overheads per unit 1000
Discounts( cash/Trade in) 1000
Margins/Profits for distributors 2000
Defects replacement 750
Repairs within guarantee 250
Company profits ( 20% on cost) 2500
Taxes 3000
Final price 23000
30. Questions and Answers andQuestions and Answers and
Exam TechniqueExam Technique
Vibagayak Nethiwa Pass karanne nedda ?
Vibage fail vunath marketing karanna
puluwni !!!!!!
31. Hope u got the idea of pricingHope u got the idea of pricing
End
PCM GSS BK