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What is penetrating pricing?

Updated: 9/13/2023
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9y ago

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Penetrating pricing Êis a pricing techniqueÊwhere a price of an item is Êset lower than the market price so as to entice new clients. It works on the expectation than Ênew clients Êwill switch to the product Êbecause it is cheaper as compared to their counterpart brands.

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9y ago

Price penetration is a marketing tactic. The market is penetrated with a new product due to its low price at the time of introduction in combination with advertising.

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