1. How does the concept of segmentation pricing relate to
Washburn Guitar’s four different price points?
-Washburn offers a fair market segmentation for they offer to
more advanced customers who value guitars they have and they choose the brands that they use would be willing to pay more higher quality of course, the more expensive the guitar, the better quality the customers will get.While,for the customers who are in a beginner level would have a product that is less quality therefore it has lesser price.
2. How does Washburn’s four different price points reflect
customer wants and needs?
-Washburn's four different price focuses are reflective of
segment pricing, which directs that if customers the market comprises of purchasers who need unique things and will pay for them, at that point the costs might be made distinctive for various goods and services. If the customers want or need a guitar for their children, Washburn can make a line for the younger generation and include fun colors, easy beginner books and low prices.
3. Are Washburn’s four price points an accurate indicator of
differential quality?Why or why not?
- Washburn guitars use signature series of the famous artists
in order to differentiate from competition which allows consumers to feel that they are using same guitar with the famous musicians. So differential quality directs that it is an indicator because they are hands on to all of the marketing segments.