Module 1 Lecture 5 - Fall 2010 Module 1 Delighting...

Info icon This preview shows pages 1–12. Sign up to view the full content.

View Full Document Right Arrow Icon
David Robinson © D. Robinson, 2010 Fall 2010 Module 1 Delighting Customers Lecture 5: Pricing & The Value Proposition
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Price as one element of the Marketing Mix Marketing Mix Product Price Place Promotion
Image of page 2
Class 5: Pricing Pricing and economics Pricing objectives Pricing strategies New Product pricing Pricing in Maturity Pricing tactics
Image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
The familiar “Demand Curve” Quantity demanded $ Price Fewer people want to buy at higher prices
Image of page 4
The familiar “Demand Curve” Quantity demanded $ Price On the other hand: “In any market, some people want to pay more”
Image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Price too high … Low Q $ Price Quantity demanded Segway Personal Transporter $5,145 !
Image of page 6
Price too high … Low Q $ Price Quantity demanded Q we produce We have this many left over
Image of page 7

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Price too low … High Q We may not be able to meet demand, and . . . $ Price Quantity demanded
Image of page 8
Price too low … High Q We may not be able to meet demand, and $ Price Quantity demanded These people wanted to pay more, so we “leave money on the table” Means: Give up some profit we could’ve made
Image of page 9

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Differentiation Moves the curve up (and allows us to charge more) $ Price Quantity demanded
Image of page 10
Smart Pricing [® reader article] means charging many different prices
Image of page 11

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 12
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern