Categories: Marketing

Product Pricing Strategies

&NewLine;<&excl;-- WP QUADS Content Ad Plugin v&period; 2&period;0&period;95 -->&NewLine;<div class&equals;"quads-location quads-ad1" id&equals;"quads-ad1" style&equals;"float&colon;left&semi;margin&colon;0px 0px 0px 0&semi;">&NewLine;&NewLine;<&sol;div>&NewLine;<h3>New Product Pricing Strategies<&sol;h3>&NewLine;<p align&equals;"justify">The most challenging stage of product is introductory stage&period; In introductory stage of new product companies face the challenge of setting the prices for the first time&period; Companies have only one chance to get new product price right&period; They can choose among the two strategies i&period;e&period; market skimming pricing and market penetration pricing&period;<&sol;p>&NewLine;<h4><strong>Market Skimming Pricing<&sol;strong><&sol;h4>&NewLine;<p align&equals;"justify">Companies interested in profitable sale set initially high price for a product to skim maximum revenue from the segments which is willing to pay high price and then slowly move to low price&period;<&sol;p>&NewLine;<h4><strong>Market Penetration Pricing<&sol;strong><&sol;h4>&NewLine;<p align&equals;"justify">Companies interested in large market share set low price for a product in order to attract large number of customer&period;<&sol;p>&NewLine;<h3>Product Mix Pricing Strategy<&sol;h3>&NewLine;<p align&equals;"justify">The strategies of setting the price for a product when the product is part of product mix&period;&NewLine;<&excl;-- WP QUADS Content Ad Plugin v&period; 2&period;0&period;95 -->&NewLine;<div class&equals;"quads-location quads-ad2" id&equals;"quads-ad2" style&equals;"float&colon;none&semi;margin&colon;0px 0 0px 0&semi;text-align&colon;center&semi;">&NewLine;&NewLine;<&sol;div>&NewLine;&NewLine;<&excl;-- WP QUADS Content Ad Plugin v&period; 2&period;0&period;95 -->&NewLine;<div class&equals;"quads-location quads-ad3" id&equals;"quads-ad3" style&equals;"float&colon;none&semi;margin&colon;0px&semi;">&NewLine;&NewLine;<&sol;div>&NewLine;&NewLine;

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