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Ditch THE
Why?
To
Provide great discounts to increase their sales.
During weak
demand?
How else to
Bolster
Weak demand due to sluggish
growth rate of gdp
“across the board “ price cuts reduces the
profit:
Deep DISCOUNTSdevalue the PRODUCT or SERVICE
and limits it price increase infuture.
“IN the present economicenvironmentwhat may
bethe solution to increasesales without giving
discountsand devaluingthe product?
Adaptive
pricing
The preferred
Adaptive pricing:which capitalizesa fact
that differentcustomers havedifferent needsand
placedifferentvalueon different product.
Key to Adaptive pricing:
“PRICE “ is one of the product’s
attributes.
Different channels different prices:-
By using ADAPTIVEPRICING: incresethe
product’s appealto the productwithout
decreasingtheprice
Companiesusing adaptivepricing technique
weatheredoff RECESIONeasilyrather than
companiesgiving DISCOUNTS.
Method of adaptive pricing: VERSIONING:- to
provide “best” “better” and “good” versions of
the same product.
Providing quality products(new version) at low
price :-powerful magnet for price sensitive
consumers.
What acompanyshould for
ADAPTIVEPRICING?
Introductionof Lower Priced
version:
Using promotions to avoid price drpos
Adapt products tomaintain affordability:
Unbundle services and add extra fees:
Withdraw recession pricing tactics:
Introducing new premium products:
Increase in theprice of regular products:
Offer new luxury experiences:
Some examples:
It isunable to defeat airlines and hotels in
terms of adaptive marketing:
Adaptive pricing in terms of
INDIAN market:
Telecom industries: unbundling the services:
Oil,shampoo, soap, dry fruits etc.:-
reduction in volume and size.
Cloth showroom and newspapers:
Airlinesand hotels: unbundling the
services,providingspecialluxury
And incentives
Created By,
Vishwa Priyatham,
Vce Hyderabad.
Under the internship ofProf.Sameer Mathur,
IIMLucknow.

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Assignment 4-1