Marketing - What is Price?

The video discusses the role of price in the marketing mix, emphasizing that price should reflect the perceived value to the consumer. It introduces two key rules: price equals value, meaning consumers must see the price as matching the product's value, and the price-quality heuristic, where price influences perceived quality. Setting the right price is crucial for balancing consumer perception and profit opportunities.

What is the technical definition of price according to the text?

Explain the relationship between price and value from a consumer's perspective.

What are the consequences of setting a price too high or too low?

Describe the price-quality heuristic mentioned in the text.

What two rules should guide marketers in setting the right price for their product?