Pricing Strategies

Which of the following describes price bundle pricing?

• Used to set a price for products that must be used along with a main product.

• Sellers often combine several of their products and offer the bundle at a higher price.

• Sellers often combine several of their products and offer the bundle at a reduced price.

• Companies setting a low initial price in order to penetrate the market quickly and deeply so as to attract a large number of buyers quickly and win a large market share

Give an example of two-part pricing strategy, other than the examples given by our team.

List the types of price adjustment strategies.

• Discounts

• Segmented pricing

• Market skimming pricing

• Promotional pricing

• Dynamic pricing

What are the cons of promotional pricing?

What does an organizer of an event have to avoid when they use dynamic pricing, so as to not affect customer loyalty?

• They must be careful not to price the tickets excessively high or excessively low, causing a large gap between the tickets.

• They cannot use the pricing strategy too often as it will result in customers who will wait until the tickets go on sale before buying them.

• They should not take advantage of certain customer groups such as regular customers or season ticket holders.

• They should give them a discount.

Janice is an event organiser. She is selling tickets for the event that she is running. The tickets are priced at $30 for adults and $15 for students. What form of segmented pricing did she use?

• Time pricing

• Location pricing

• Customer segmented pricing

• Occupational pricing

The payment for a good is due within 30 days; however, the buyer can deduct 2% from the total bill if it is paid within 10 days. State the pricing strategy used.

• cash discount pricing strategy

• quantity discount pricing strategy

• seasonal discount pricing strategy

As a way of giving back to its customers, a well-known retail shop have decided to give a 50% discount every Christmas season. Name the pricing strategy used.

• cash discount pricing strategy

• quantity discount pricing strategy

• seasonal discount pricing strategy

Which of the following is not a promotional pricing technique?

• special event pricing

• discount pricing

• longer warranties

• free servicing

Dynamic pricing involves adjusting prices ____ to meet the characteristics and needs of individual customers and situations.

• continually

• at its most profitable price

• once