Vocab 1
Pricing strategy that creates an image of a product and entices customers to buy.
Psychological Pricing
Sets prices high to convey quality and status.
Prestige Pricing
Sets and maintains prices that are perceived by customers to be low.
Everyday Low Pricing (EDLP)
Sets prices to end in an odd number.
Odd Pricing
This fast food chain is famous for the slogan “I’m Lovin’ It.”
McDonald’s
Setting the prices of products in a way to intentionally mislead a customer.
Deceptive Pricing
Established price printed in a catalog, on a price tag, or in a price list.
List Price
Sets various prices for the same type of product to indicate different levels of quality.
Price Lining
Sets prices for accessories that may be sold with the main product.
Optional Pricing
This celebrity became the face of Pepsi and starred in one of their most famous Super Bowl ads.
Beyoncé
Minimum price set by the government for certain products that it thinks are being priced too low.
Price Floor
Maximum price set by the government when it thinks certain products are being priced too high.
Price Ceiling
Gives customers a free or reduced-price item when another is purchased at full price.
Buy One, Get One (BOGO) Pricing
Pricing method that allows customers to compare prices based on a standard unit of measure.
Unit Pricing
This YouTuber turned boxer has his own energy drink brand called PRIME, co-created with KSI.
Logan Paul
Advertising one product with the intent of persuading customers to buy a more expensive item when they arrive in the store.
Bait and Switch
Item that is priced much lower than the current market price or the cost of the product, resulting in a loss on each sale.
Loss Leader
Sets prices low for the base product but charges high prices for other components that are needed to complete the product or service.
Captive Pricing
Selling the same product to different customers at different prices based on personal characteristics.
Price Discrimination
This toy line turned movie franchise boosted sales by partnering with Margot Robbie and dropping a pink-covered PR campaign in 2023.
Barbie
When does Price gouging usually occur?
During Emergencies!
What kind of discount do customers receive when they trade in a similar product to receive a lower price during the sales transaction?
Trade-in Discount
This pricing strategy combines two or more services or goods for one price.
Bundling
What law makes price discrimination illegal?
Clayton Antitrust Act (1914)
This rapper dropped a meal collaboration with Popeyes and launched her own hot sauce — showing how artists can boost brand buzz.
Megan Thee Stallion