Tuesday, November 25, 2014

Price

"Recent economic events have caused a fundamental shift in consumers attitudes towards price and quality. In response, many company's have changed their pricing approaches to bring them into line with changing economic conditions and consumers price perceptions. More and more marketers have adopted good value pricing strategies- offering just the right combination of quality and good service at a fair price."Marketing: An Introduction/Armstrong, Kotler- Pg277 

At Phileas Fogg Snacks; Hot Caribbean Jerk Crackers we have set our price at $1.99 per container. This price point gets up right above the break even mark. It also is very reasonable as a bar snack. It is a little bit more expensive that an ordinary bag of chips and keeper than an appetizer. There is 15 containers in one case of crackers. This would add up to almost $30 a case, retail. I will charge each customer the retail price until they are a regular customer that buys more than 10. This would equal out to $300 retail, I will charge $275, this is to encourage the customers to buy our crackers by the bulk.  

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