1. RETAIL PRICING An Effort by, Anirban Pal (C-08-08) AnirudhBhandegaonkar (C-08-09)

6. Pricing strategies Customary pricing – retailer sets price & seeks to maintain those prices over an extended period. Prices that customers can take for granted & stable. Variable pricing – when differences in demand & cost necessitate a change, with a view to increase demand, off season discount. Flexible pricing – offering same products & quantities to different customers at different prices. Price lining – retailers establish specified number of price points for each merchandise type & retailers purchase goods to fit the price points – makes price comparisons easier – can help store to upgrade / down grade customer s preference.

9. Skimming Pricing It is a pricing strategy wherein firms change premium prices and attract customers less sensitive to price than to service , assortment and status.

10. Penetration Pricing It is a pricing strategy in which the retailer seeks to achieve large revenues by setting low prices and selling high unit volume.

11. Psychological pricing Pychologicalpricing is used when prices are set to a certain level where the consumer perceives the price to be fair. The most common method is odd-pricing using figures that end in 5, 7 or 9. It is believed that consumers tend to round down a price of Rs. 99.95 to Rs. 99, rather than Rs.10.

13. Markup is Rs.5 or 25% of the cost or 20% on selling price

15. Thank You