Posts Tagged ‘marketing tool’
The Warranty as a Marketing Tool Part 2
6. Lowest Price
If you can not compete on quality, service, or expertise, usually the most desirable, “you must do so in price. The lowest price guarantee is one of the best known. Usually is that if the user finds the cheapest product, you pay the difference.
The psychological mechanism that triggers is very interesting, because companies that offer this guarantee does not always-sometimes-rarely are able to offer really set the market price (it is impossible that two competitors have the lowest price for a product once, unless you have agreed, which is not legal, the thing is much more complicated if we introduce another 3 or 4 competitors …)
The Warranty as a Marketing Tool Part 1
1. If you do not like, we will refund your money
It is perhaps the most widespread security. Therefore, it is sometimes seen more as a consumer right that as an advantage in itself.
As a sales support is always positive, because it provides security to the client. The key is, many times, the requirements to run the return of the amount spent, terms, conditions, documentation, etc.
Many companies try to hinder the process to deter some customers. Those that make you easy to generate greater confidence.
Strategic Marketing – The Price
Many employers use a very simple approach to determine prices, not realizing that they are a strategic marketing variable. It is necessary to consider several factors before setting prices.
1. Cost: prices must cover costs and allow a profit margin acceptable. This applies to industrial, services or sell products manufactured by third parties. Should take into account the amount of fixed and variable costs plus a profit margin.
2. Competitors’ prices: The price relative to competition can be higher or lower even if it sells the same product due to a number of factors.