2.- Low-cost pricing strategy for low-cost products

[Irfanabdulla1111]

We have already said that price is important but it is not the only thing we have to take into account with regard to business sales.

Your prices always, always, always have to cover the sum of all your fixed and variable costs, otherwise you would run into losses.

You need to apply a margin in the form of a percentage to your prices so that your business can increase its savings (capital) and you can invest and grow.

As we have previously discussed, if you have a good value proposition, your customers will be willing to pay more and will be happy to do so.

Your prices will not be linked to cost but to value, so if your value is high, you can use expensive prices.

Below I will give you several ideas for pricing strategies that you can apply to your products or services.

What are the best pricing strategies?
1.- Penetration pricing strategy
Penetration pricing strategy occurs when a new product or service is involved and a low price is set to enter the market and then raised.

Sometimes, leaving a product very cheap may be necessary, even most businesses have sometimes worked with exchange of services.

When is it a good idea to do this? In the case of entering a new market or launching a new service.

What will make it easier for you is to enter the market in a smoother way, and as you get clients, this strategy involves gradually raising prices until you reach the price established from the beginning.

As for this gradual increase in prices, be very careful, as you will have to be very careful with the volume of these increases.

If they are drastic, you will lose many customers as quickly as you gained them.

Those who cannot provide greater value or for early bookings, customers with an advantage...

3.- Promotional pricing strategy
Promotional pricing strategies consist of discounts over a period of time, one-time offers, Black Friday or exceptional situations in which low prices can be used to sell in volume.

4.- Skimming price strategy
It involves entering a new market with a high price, and once the competition makes its way, reducing costs and implementing other strategies to lower prices.

5.- Price comparison strategy
Putting the sale price compared to the original price makes the recipient dubai whatsapp number focus on the discount and not so much on the total price.

6.- Price size strategy
If we put a high price in small print we make the receiver's brain see it as a smaller price than it is.

7.- Price crossing out strategy
By crossing out a price, we are telling the consumer's brain that the uncrossed price is worth it. For this to be effective, both prices must be visible on the product and the uncrossed price must be more affordable for the customer.

8.- Strategy for using cents
If we offer a compulsive purchase product, it is better to put the price without cents.

However, if the purchase is rational, it has been proven that adding cents works better.