![]() Marketing professionals in diverse industries make use of penetration pricing strategies for their marketing activities. Penetration pricing strategy enables a business to widen its customer base and improve profitability in the initial phase itself. To begin with, many factors determine the exact pricing of the product such as the number of competitors in the market, similarity with their product, and how they price their products.īy selling the product/ service at a lower price, the marketing professionals can retain their customers in the long run even after increasing the prices for their product. So, free samples and low prices may attract them in a better way assuming the audience is price sensitive. As we want to attract new users but also some loyal users of the competition. The purpose of the strategy is to make as many people as possible try out the new product. To enter the market with a low price to cut the competition. Now, this is actually the oldest trick in the book. It aims at offering the product at a lower price than required to make a profit. Penetration pricing is a marketing strategy which businesses utilize while introducing anew product or launching a product in a new market. ![]() Let’s have a look at what penetration strategy is and who can benefit from the strategy. ![]() And in today’s blog, we will deep dive into the concept of penetration pricing strategy. Whether you are a marketing professional or management, having an understanding about a penetration pricing can help in improving your career prospects. Irrespective of the industry in which a business operates, penetration pricing strategy can prove to be effective in creating a customer base. Got you interested? Well, penetration pricing is the practice of offering a productor service at a lower price initially for attracting the customers. Pricing strategies help you harness the power of pricing in a way that helps you boost your profitability without increasing your costs. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |