市场营销英文版chapter-12-pricing-strategies.pptVIP

Pricing Strategies Chapter 12 Objectives Learn the major strategies for pricing imitative and new products. Understand how companies find a set of prices that maximizes the profits from the total product mix. Objectives Learn how companies adjust their prices to take into account different types of customers and situations. Know the key issues related to initiating and responding to price changes. Case Study Many contract manufacturers are faced with falling prices and squeezed margins Consolidation in the global computer industry Strategy: shift to higher margin businesses such as LCD TVs Developing strong Asian brands to ensure price advantage such as Acer and Benq Pricing Strategies Market Skimming Market Skimming High price, Low volumes Skim the profit from the market Suitable for products that have short life cycles or which will face competition at some point in the future (e.g. after a patent runs out) Examples include: Playstation, jewellery, digital technology, new DVDs, etc. Market Skimming when Sony introduced the first consumer VCRs in the 1970s, the retail price exceeded $1,000. The same was true when compact disc players were launched in the early 1980s. Within a few years, prices for these products dropped well below $500. This pattern was evident in the fall of 1998, when HDTV sets went on sale in the United States with prices starting at about $7,000. This price both maximizes revenue on limited volume and matches demand to available supply. Pricing of iPhones Pricing of iPhones Pricing of iPhones Pricing of iPhones Pricing of iPhones New Product Pricing Strategies Market Skimming Setting a High Price for a New Product to “Skim” Maximum Revenues from the Target Market. Results in Fewer, But More Profitable Sales. Use Under These Conditions: Product’s Quality and Image Must Support Its Higher Price. Costs Can’t be so High that They Cancel the Advantage of Charging More. Competitors Shouldn’t be Able to Enter Market Easily and Undercut the High P