while there probably won’t be a definitive sweet spot for appealing to consumers when it comes to pricing, there is a tactic that can give you the flexibility to appeal to both high- and low-end consumers simultaneously called “price lining.” price lining is the practice of releasing multiple versions of the same product or service at different price points simultaneously. price lining is intended to appeal to both higher-end and value-conscious buyers by giving them a choice between better product and a better deal. in this article, i’ll shed some light on what price lining is, offer some examples, and give you some tips on how to do it right. for instance, both the iphone 11 and iphone 11 pro were released at the same time. two versions of the same product were introduced — one with premium features and one without — for different prices. they’re happy to pay more under the assumption that they’re getting a better product.
for example, in 2018 honda offered two models of the 2019 accord — lx and ex — at different price points. it has a push-to-start ignition system, heated seats, and enhanced safety features including technology to help with lane switching. buyers interested in the premium model need to believe their money is going to a fundamentally better product or service. you want to be able to appeal to two different kinds of buyers — those who prioritize value and those who prioritize quality. you might miss out on both high-end buyers who would be willing to pay considerably more for a premium model and budget-conscious buyers who won’t see your standard model as much of a bargain. products and services are only worth what people are willing to pay for them. price lining is one way to create that perception and get buyers on board with your product.
it is because the customers would perceive the higher value of the product if the price is higher. but as you move up to the premium version, it would offer you more features and a variety of choices. the product would remain the same, but new features would increase the price of it, which would attract the attention of customers and they are willing to pay for it. if he finds it relevant and it answers all of his questions, then he’d agree to pay for the complete course. hotels and restaurants in the hospitality industry follow the price lining marketing strategy.
when you divide the same product into different price lines, then it would attract the attention of a variety of people of different backgrounds in terms of affordability. it is price lining that helps them to analyze the market and customers’ preferences. however, it provides the customers with an opportunity to test the product without paying a heavy price for it. when the economy of a country is in recession, then it would result in higher unemployment. when it comes to the implementation of a price lining strategy, the marketers have to be very careful with the features they’re providing. one thing has become clear in our discussion that price lining brings a lot of benefits for the company if the company implements it properly.
price lining examples. price lining has a presence in a variety of industries across a wide range of price lining (product line pricing) is a marketing strategy where businesses set different prices of the for example, if you sell water purifier at a different price, then you will observe that the sale of, . take coca-cola for example \u2013 its product lineup includes a variety of beverages like fanta, sprite, tropicana, etc. and even within these product lines, there are products set at different prices because they vary by their ingredients or quantity or taste. this segregation within the product line is price lining.
price pointing allows marketers to sell the same product but charge for additional features and options. for example, a car definition: price lining is a marketing strategy that employs prices to differentiate similar products that have distinctive you might also hear product line pricing referred to as price lining, but they refer to the same practice. the goal of,
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