PRICE-ADJUSTMENT STRATEGIES

By
Anson Thomas
Jogan M Philip
Price-Adjustment Strategies refers to all
those strategies which are applied by an
organisation to take into consideration the
differences among the customers and
rapidly changing environment.
SIX PRICE-ADJUSTMENT STRATEGIES
 Discount And Allowance Pricing

 Segmented Pricing

 Psychological Pricing

 Promotional Pricing

 Geographical Pricing

 International Pricing
DISCOUNT AND ALLOWANCE PRICING

 Cash discount

 Quantity discount

 Functional discount

 Seasonal discount

 Allowances
SEGMENTED PRICING

 Customer Segmented pricing

 Product form pricing

 Location pricing
PSYCHOLOGICAL PRICING

Psychological pricing is a business concept

supported by the idea that customers respond
better to certain types of prices and will more
likely to buy items with these prices. Most often,
such prices have end digits of nine, 99 or 95
PROMOTIONAL PRICING

Many organisations try to promote their products by

lowering down the prices of their products below
list price or even cost .Such promotional pricing
helps the marketers to attract the more customers in
short period of time .
GEOGRAPHICAL PRICING

Companies also charge different prices from the

customers living in different parts of the country or
world. If the customers are living in distant
areas, Companies have to charge higher prices to cover
the cost of shipment but this will result in the losing of
customers to cmpetitors . Therefore it becomes diffcult
for the company whether to charge the uniform prices
through out the country or change prices according to the
geographical conditions in which the customers
 INTERNATIONAL PRICING
Companies that market their products internationally
must decide what prices to charge in
the different countries in which they operate. In some
cases, a company can set a uniform worldwide
price. The price that a company should charge in a
specific country depends on many factors,
including
 Economic Conditions,

 Competitive Situations,

 Laws and regulations,

 Consumer perceptions and preferences

 Development of wholesaler and retailer system

THANK YOU