4/25/12

This week we discussed pricing strategies. There are three main strategies we discussed:

• Price skimming
• High introductory price and heavy promotion
• Penetration pricing
• Low introductory price in order to reach the mass market
• Status Quo pricing
• Pricing close to the competition

I thought it was interesting that different pricing strategies are used in different situations. We discussed this same thing in my entrepreneur class with Professor Allen, so this information was already somewhat familiar to me.

4/18/12

Discussing promotional strategy was very interesting this week. One of the more interesting things to me was the relevance of what McDonald's does with Happy Meals. In giving away the free toy, they are not only appealing to children, but also appealing to adults who now feel they got a premium purchase. They got something additional for buying a product they were already planning on purchasing.

4/11/12

The biggest thing I took away from this class was when you are advertising, you are selling what is unique to your business, product or service. You are explaining what your competitive advantage is. Also, the three forms of product advertising are pioneering, competitive, comparative.

4/4/12

No Class - E Week

3/28/12

The three main things promotion tries to accomplish are:

o Inform
o Persuade
o Remind

I think the most important of these 3 is the remind part. It seems like even though you inform, and persuade, you have to constantly remind consumers of your product and its competitive advantages.

3/21/12

This week I felt the importance rested on the three main functions of the marketing channels, which are:
o Specialization and Division of Labor
o Overcoming Discrepancies
o Contact Efficiency

3/14/12

Spring Break - No Class