Chapter 5 of the course text, Principles of Marketing
This week, you learned about the three core pricing strategies: penetration, neutral, and skim. In this interactive activity, you’re going to briefly recap the three pricing strategies, use them to classify the major pizza chains based on exploring the online ordering process, and then answer a few related questions. So let’s dig in!
1.Re-familiarize yourself with three main pricing strategies. Review section 5.2 and texts as needed. 2.Research actual pizza pricing for five different pizza brands.
-Visit each site identify your location and simulate an order. -Price out a medium cheese or pepperoni pizza.
– Proceed to payment stage, observing the selling process.
-Record your pizza choice and final price minus tax. 3. Create a form post that includes the following: a brief description of three pricing strategies, from least to most expensive strategy.
-Classifications of the five brands into the three pricing strategies: Penetration, neutral, and skim. -For any of the three pricing strategies where you have multiple brands, Rank the brands from least to most expensive. Include the kind of pizza you priced out, your recorded prices, and any other pertinent notes.
Your classifications may differ from others. That’s OK. 4. Answer the following questions: -did you perception of these chains pricing strategies change based on this exercise? If so, how? -For you which of these chains represents the greatest value and why? Explain how each of the four P’s of the market makes contributions to your answer.
-If you were to suggest to sales promotion strategies (Section 5.4 to attract more sales for the brand that has the greatest value for you, which two would you suggest? Why? Name the promotional pricing strategy and explain why this is the best fit for the brand you picked.
