Tải bản đầy đủ - 0trang
Everyday Low Price (EDLP) vs. High/Low Pricing
Pricing strategies & tactics
Launching with a high price when there is little
competition, then reducing the price later. Often
used with technology.
Low price charged initially to penetrate the
market and build brand loyalty; price is then
increased e.g. introductory offers on magazines.
A similar price is charged to that of competitors’
A price is set which customers perceive as lower
than it is e.g. Rs 39 instead of Rs40.
How should you
price if your
product is a lifesaving drug?
The marketing mix principles are
which have to be carefully managed
and must meet the
needs of the defined target group.
All elements of the mix are Linked
and must support each other.
Product’ refers to the
functions and features of a
good or service
Should satisfy the needs of
May have a Unique Selling
‘Product’ also includes a
range of factors such as
service and branding
The price of a product will
The cost to make it
The amount of profit
Other objectives of the
The price competitors
The price customers are
willing to pay
Is there a high
Is demand sensitive
to changes in price?
The use of
and selling on the
internet) has grown
massively over the last
The aims of
Extended Marketing Mix
Channels of distribution
This uses advertising media over which a firm
has no direct control e.g. television, radio and
This uses promotional media which the firm can
control e.g. direct mail, sales promotions and
• Communication by marketers that informs,
persuades, and reminds potential buyers of a
product in order to influence an opinion or
elicit a response
not only informs, but is also used
Purposes of Marketing
to differentiate the seller’s
Informs, persuades and reminds
Is part of the marketing mix
Includes all the means by which a
company communicates directly
with potential customers.
Atempts to influence feelings,
beliefs, or behaviour.
Personal selling: The direct presentation of a product to a prospective customer by a
representative of the selling organization.
Advertising: A paid, impersonal mass communication with a clearly-identified sponsor.
Sales promotion: Demand-stimulating activity designed to supplement advertising
and facilitate personal selling.
Publicity: A special form of public relations that involves news stories about an
organization or its products.
Public relations: A planned communication effort by an organization to contribute to
generally favourable attitudes and opinions toward an organization and its products.