Question

write 2 - 3 pricing strategies and describe each of these strategies in detail for your Marketing Plan. Are you creating a YouTube video, handing out coupons, having a sale?

Answer 1

Pricing strategies and their explanation are as below:

1)Pricing for Market Penetration: This will aim at reducing the profit margins for the company and selling the product at a lower price so as to fetch more and more customers and make the customers use the product so that they can understand the usability of that product.

2) Economy pricing could also be another useful option as it will make us lessen the price for production and marketing and this saved cost will directly ensure that the cost of the final product decreases. This would be done with the intention of attracting the price conscious batch of the customer who is conscious of the price of the product.

3)Psychology pricing can also be done as an attempt to attract customer where the price of the product will be in the nineties rather than the whole figure, example: If the product was aimed to have a price of $100 then it would be marked as $99.

Creating a youtube video can be very cost effective as the product would be able to gain a lot of attention and the final cost of customer acquisition would also be less.