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The Marketing Mix
Value For Money
PRICE...
How much customers are willing to pay
How much competitors charge
Customers want value for money. This does not just mean a low price.
Customers are often willing to pay more if they think the brand and product are worth it.
The price of a product is often set to ensure it covers costs so a profit can be made.
A business must also consider how the price can affect demand.
What would happen to demand & profit if a can of Coke cost £10? 20p?
Discounts/ offers
How they can pay for the product
Cost to make
Price Penertration
Price Skimming
Cost Plus
Loss Leader
Competitive Pricing
How do buisnesses decided on a price??
Match each advert to the correct pricing strategy
What to consider...
Demand / Profit
Pricing Strategy
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