Pricing is a complex and often intimidating aspect of the marketing strategy. It is extremely important to price your product to sell and to make a profit. This blog details a pricing process designed to help any company create the best pricing strategy.
Marketers use a pricing analysis to help them price their product correctly in the marketplace for profit and revenue.
Choose 1 brand of shampoo. Pretend you are the marketing manager for this brand. You have been asked to establish a new pricing strategy in the marketplace. Conduct a pricing analysis for your shampoo. Use the following format to complete this assignment:
- How would you describe the product’s current pricing structure, and who is the target market?
- Do you need to consider any legal or ethical constraints related to pricing?
- What new pricing strategy would you use for your shampoo? Select the strategy from the following:
- Penetration pricing
- Skimming pricing
- Premium pricing
- Why do you think this new pricing structure is the correct strategy for your shampoo?
Deliverable Length: 3–5 pages (not including cover page and resource page)