Pricing Strategies: Additional Considerations - Product Mix Pricing Strategies

5 important questions on Pricing Strategies: Additional Considerations - Product Mix Pricing Strategies

What is product line pricing?

Involves setting the price in steps for various categories of products based on costs, competitor's prices, evaluation on features differences.

What is captive product pricing?

Concerns setting a price for the products that comes along with the main product (printer and ink). The main strategy is to set low price for the product and high price for the supplies.

What is captive product pricing called for services and what is it?

Two-part pricing. Fixed fee and variable usage rate.
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What is by-product pricing?

Company sets a price for the by-products in order not to run high disposing costs, while making the main product price more competitive.

What is product bundle pricing?

Sellers offer lower prices for a bundle of products.

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