What’s Your Price? Feline Gondokusumo
Stephanie Yee-Ming HungRohan Ishwarlal
Philson Nah Tay Qing Lun
SweetRiot
Humane, globally responsible and built for a new generation.
Premium, high quality, and all-natural ingredients.
Believes in fair trade with developing countries.
Celebrates culture and diversity through our products.
Creates sweet experiences for our customers, partners and employees.
Young at heart, energetic, down-to-earth and contribute to the greater good
Kriser’s
All Natural Products
Bulk of sales come from dog grooming services
Other products & services include: Pet food Skin-care products Blueberry facials
Current Pricing Strategies
Sweetriot
• Premium chocolates: prices of other company’s ranged from $2.99 - $7.99
• Endline priced her one-ounce tins of chocolate cacao beans at $4.99
Kriser’s
• Set dog grooming prices at $46
• Noticeably lower than other pet groomers
Question 1 Why Underprice? Connection between price and company image
Why underprice?
Market penetration pricing to achieve: Competitive advantage Gain market share/acceptance Higher sales volume
Product Life Cycle
Price conveys Image H
igh
Pri
ces • Good Quality
• Differentiating factor
• Competitive advantage
• Exclusive Avera
ge P
rice
s • Common product
• Hard to differentiate
• Run-of-the-mill Low
Pri
ces • Low Quality
• Low perceived value
• Defective product
“ I priced too cheaply and people weren’t sure my belts were special.” – Gaylord
Example - Lyn Gaylord accessories
Question 2: SweetRiot Suggested pricing strategies How to implement them
SweetRiot’s Pricing Strategy
Engage in price liningImpact: Target a wider group of consumers Increase sales while maintaining premium image Increased revenue and profit margin
SweetRiot’s Pricing Strategy
Introduce a loyalty programImpact: Cultivates customer loyalty – returning customers Encourage greater spending – to accumulate points Increased sales without directly reducing prices
Question 2: Kriser’s Pet Supplies Suggested pricing strategies How to implement them
FOR YOUR PET'S ALL-NATURAL LIFE
Kriser’s Pricing Strategy
Stop market penetration strategy
Engage in price liningImpact: Gloss issue with underpricing Target different consumers Increased revenue and profit margin
Discount strategy using loyalty programImpact: Develop customer loyalty – customers spread good word Customers buy more Increased revenue with more customers
Kriser’s Pricing Strategy
Bundling of dog-grooming services and pet suppliesImpact: Increase perceived value of services and products Bind customers to dog grooming services Increase consumption of services Increased revenue and profit margin
Odd pricingImpact: Efficacy is in doubt – but no harm trying Possibly increase revenue and profit margin
Do you have any questions?
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