January 26, 2021
Have you ever wondered why the latest version of the iPhone always retails for over $1000? Have you ever pondered why people shop at Target when the same products at Walmart are significantly lower? Have you ever noticed that the price per gallon of gas will be $2.15 at Speedway and that the Marathon across the street is $2.14?
East Central Indiana SBDC Virtual Workshop: The Price Is NOT Right
Tuesday, January 26, 2021
Understanding your market and competition. Understanding your customer's expectations. Understanding pricing strategies
For many people, these are not major issues; for some it is just a blip on the radar or part of the conscious effort to save a few dollars. For a savvy business owner, these are the results of strategic pricing designed to increase revenue and ultimately profit.
If you are a business owner, ask yourself how you determined the price of your products or services. What strategy did you use to ensure that you would make a profit and how responsive to your prices are your customers? Product and service pricing is a key management function and is by no means, an easy feat. Overprice your items and customers might visit your competitors. Conversely, pricing your product too low, can result in not making enough profit to run a sustainable business. Not to mention, you also run the risk of potential customers assuming that your product is low-quality which is not ideal!
So what is the most appropriate way to approach your pricing strategy? Attend this workshop to find out.