Profitable Pricing Strategies for Web Designers and Agencies
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Profitable Pricing Strategies for Web Designers and Agencies
Which pricing strategy do you think the best strategy for web designers and agencies? Why?
The best pricing strategy ideal for web designers and agencies would be buffer-style pricing. The pricing strategy ensures the inclusion of other fees summed altogether, which clients will dearly need as part of their wants (Bacic, 2015). Including such prices raises the initial cost too high. The major aim of adopting such a pricing strategy is to have higher profit margins, making them stay afloat in their business.
Choose one industry with which you are familiar and discuss a firm’s pricing strategy in the industry.
Apple is a company that has dominated the world for some time. Its major pricing strategy is setting psychological price strategy, which involves setting the product’s prices high at the onset of launching new products that should reach the market. When they have attained some good profits from their clients, which are usually thrilled by the new products that reach the market, they reduce their prices considerably to allow other customers to afford to purchase the same items. Through this method, their products become popular.
Why do you think it is the best pricing strategy in that industry? Discuss in detail.
As a company, apple applies the psychological pricing strategy when new products reach the market; the prices are hiked to get large profit margins. Later on, they reduce the prices to allow people to afford the new products at fair prices. For a long time, Apple has been able to use a multidisciplinary approach that consists of producing a minimal number of products. The products can only be afforded by few people, who can afford the high costs of the products they charge. They do this to focus on making profits instead of their market share. They decrease the supply of the products that enable various people to have the urge to purchase their product.
References
Bacic H. (2015) Profitable pricing strategies for Web Designers And Agencies,
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