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This pricing method allows companies to present a low base price that is capable of attracting customers while maintaining the possibility of generating high customer revenues by selling costly add-ons later.
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Usage of optional product pricing?
optional-product pricing- offering to sell option or accessory products along with their main product. for example, a car buyer may choose to order an in-car entertainment system and bluetooth wireless communication
How could optional product pricing be used by company?
Optional product pricing can be used by a company to increase both revenue and market share. This is by lowering the prices of main products and hiking the price of accompanying accessories.
Examples of optional product pricing?
Ex. A car buyer may choose to order a GPS navigation system and Bluetooth wireless communication. What i meant here is optional product along with the main product.
How is vodafone differ itself in term of product and pricing?
Optional-product pricing is when after the initial pricing of a product is offered additional accessories are offered for that product at a price. This is a pricing option that has gained popularity over the years. Many companies offer a savings on bundled accessories with the purchase of product. Some companies may include cable companies, car companies, cell phone companies, banks, etc.
What is product mix pricing?
It's the pricing of the product
What is optional pricing?
prices accessory products that are offered with the main product is called optional pricing for ex.. car accessories _____________________________________________________________________ Uhhhhh... In short, option pricing theory uses advanced modeling techniques, such as the Black-Scholes method, to estimate some form of value for a stock value, equity, etc. Not so sure about the car accessories thing noted above ...lol.
Single product pricing and mult product pricing?
Single product pricing refers to a single purchase, such as one bottle of Pepsi. Multiple product pricing refers to purchasing more than one product at a time, such as a pallet of Pepsi.
Explain how product form pricing may be a pricing option at Quills?
Explain how product form pricing may be pricing option at Quills?
How do you price product?
pricing a product depends upon the following factors which are1-product quality2-product features3-Product performance4-cost of production5-customer based pricing
What is the difference between cost plus pricing and marginal pricing?
Cost plus pricing is based on full product cost plus desired profit margin to arrive at the product price, while marginal cost plus pricing makes use of the product's total variable cost plus desired profit margin to arrive at the product's price. Marginal cost plus pricing (or "mark-up pricing) is based on demand, and completely ignores fixed costs in arriving at the product's price.
What is pioneer pricing?
Pioneer pricing is setting an initial price for a new product. This is quite essential as it will be the basis of judging how the product does in the market.
Examples of by-product pricing?
a pricing method used in situations where a saleable by-product results in the manufacturing process. If the by-product has little value, and is costly to dispose of, it will probably not affect the pricing of the main product; if, on the other hand, the by-product has significant value, the manufacturer may derive a competitive advantage by charging a lower price for its main product.
