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Pricing StrategiesChapter 121第一页，共二十三页。
ObjectivesLearn 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.2第二页，共二十三页。
ObjectivesLearn 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.3第三页，共二十三页。
Price is #1 factor influencing choice of cellular companiesPrices in wireless industry dropped 25% in three years Few companies were profitablemLife ad campaign attempted to build the ATT wireless brand so consumers would consider value rather than just priceCampaign met with strong initial success mLife: ATT WirelessCase Study4第四页，共二十三页。
DefinitionsMarket-Skimming PricingSetting a high price for a new product to skim maximum revenues layer by layer from segments willing to pay the high price.Market-Penetration PricingSetting a low price for a new product in order to attract a large number of buyers and a large market share.5第五页，共二十三页。
Product Line PricingSetting price steps between product line items. Price pointsOptional-Product PricingPricing optional or accessory products sold with the main productProduct Mix Pricing Strategies6第六页，共二十三页。
Captive-Product PricingPricing products that must be used with the main product High margins are often set for suppliesServices: two-part pricing strategy Fixed fee plus a variable usage rateProduct Mix Pricing Strategies7第七页，共二十三页。
By-Product PricingPricing low-value by-products to get rid of themProduct Bundle PricingPricing bundles of products sold togetherProduct Mix Pricing Strategies8第八页，共二十三页。
Price Adjustment StrategiesDiscount / allowance SegmentedPsychologicalPromotionalGeographicalInternationalTypes of discountsCash discountQuantity discountFunctional (trade) discountSeasonal discountAllowancesTrade-in allowancesPromotional allowancesStrategies 9第九页，共二十三页。
Price Adjustment StrategiesDiscount
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