Showing posts with label Price. Show all posts
Showing posts with label Price. Show all posts
Competition-based pricing (Competition-oriented pricing)
With focus on rates of prices, charged by specific competitors, regardless of levels – same, less or more. Thus a retailer discards his attention from customers, other trends and the demand.
Consumer price index (CPI)
Demand curve
Graph, depicting the quantity of goods that customers would buy on the market at different levels of pricing per unit. It shows the relationship between price and demand.
Multiple-Unit Pricing
Pricing strategy aiming at convincing customers to buy more, spending less. Offers of that kind usually set one price for purchasing several things in a pack, e.g. special store offer for three dessert bars in a bundle for Ђ1.
Markup on retail
Reffered to also as markup on the selling price. It is calculated by dividing the markup by the price an item is sold on.
Marquee
Sign used to present the establishment’s name, motto, current story and/or logo. Usually it is some kind of construction (platform) installed above the front entrance (e.g. hotel, theatre, bank, office, etc.) Modern words that originate from this linguistic root for "sign" are margin and mark.
Markup
The addition on the cost of the merchandise and the selling price on the market. It should be considered at the moment of setting a price for a product to the market and it is an important task in order to generate good profits, cover expenses and not to lose customers. Usually it is set by certain percenage cost-plus. Using percentage cost-plus makes adjustments easier when merchandise selling price change at times.
Below market pricing
A pricing method used in retail business when a retailer uses price points that are below the competitions.
Pricing collaborations
One of the types of marketing alliances in which one or more companies join in a special pricing collaboration. It is common for hotel and rental car companies to offer mutual price discounts.
Market-penetration pricing
A type of price setting procedure where the price of a product or service is set at a low level for a new product in order to attract a large number of buyers and a large market share.
Tracking studies
A form of advertisement research designed to assess the effect of advertising on awareness, recall, interest, and attitudes toward the ad as well as purchase intentions. Ad tracking may be applied to both print and broadcast ads but is more common with the latter. The major advantage of tracking studies is that they can be tailored to each specific campaign or situation.
Buying services
One of the forms of nonstore retailing that has emerged in the recent days. These are storeless retailers serving a specific clientele—usually employees of large organizations—who are entitled to buy from a list of retailers that have agreed to give discounts in return for membership.
Price-quality association
Concept stating that many consumers feel high prices connote high quality and low prices connote low quality. Also called as price-quality relationship.
Audited net sale
The circulation figure of a journal, as declared by publishers' independent auditors after deduction from original print
order of free copies, returns, vouchers, and copies not sold at full cover price.
Discount (in foreign exchange)
A situation in which the forward rate for a foreign currency is less than the spot rate, assuming that the domestic currency is quoted on a direct basis.
Dependency
A state in which a country is too dependent on the sale of one primary commodity and./or too dependent on one country as a customer and supplier.
Balance of payments
The account that details all the economic transactions involving goods, services and investments that occur between one nation and other nations in a given period.
Loss leader pricing
A pricing strategy used by supermarkets and departmental stores when they drop the price on well-known brands and advertise in local media to attract additional store traffic. This strategy works when the revenue on the additional sales compensate for the lower margins on the loss-leader items.
Bait and switch pricing
A form of deception in pricing practices that involves a low price offer intended to lure customers into a store where a salesperson tries to influence them to buy higher priced items.
Bundled pricing
A strategy used by retailers where they pack together several complimentary products and offer them at one basic price. For example, packing a razor, blade, and a brush.