PRICE

STRUCTURE
Jollybel Z. Robles
BSA4D
 PRICE
The amount of money expected,
required, or given in payment for
something.
 4 P’s of Marketing
1. Product 3. Promotion
2.PRICE 4. Place
 Price structure
 Is an approach in products and services
pricing which defines various prices,
discounts, offers consistent with the
organization goals and strategy.
Cost Approach

Demand Approach

Competition
Approach
 COST
APPROACH
 Cost plus Marginal
pricing cost pricing
 the exporter starts with the
domestic manufacturing  This method considers the direct
cost and adds out-of-pocket expenses of
administration, research producing and selling products for
and development, export as a floor beneath which
overhead, freight prices cannot be set without
forwarding, distributor incurring a loss.
margins, customs charges,
and profit.
 DEMAND
APPROACH
is a method used to attract a high
volume of buyers by marketing Penetration
products or services at a lower price
than competitors.
pricing

Pricing your product high

so that only wealthier
customers can afford it.
  The products are bundled
Bundling so as to make the customer
use the bundled product
Pricing for the first time.
 Focuses on buying one
 two different products and getting a new type of
are combined together product for free.
and they are offered as
a deal.
Promotional
Used to get rid of
excess stocks Pricing
 Price
Psychological Skimming
Pricing
 Work best during the
introductory phase of
 Can make a huge products and services.
impact psychologically on  Involves introducing a
consumers. product to the market at a
 Creates the illusion of a premium price, then
less expensive product methodically lowering the
without significantly price over time to attract a
affecting profitability. larger customer base.
COMPETITION
APPROACH
 Loss
leader

 Strategy of basing  Deliberately sell a

prices on historical product below its
price that customers customary price to
expect. attract attention to
it.
THANK YOU!!!!!
