The idea of a variable pricing policy, Marketing Management

Assignment Help:

Explain, with examples, the idea of a variable pricing policy.

Variable pricing includes adjusting prices to increase demand in off-peak periods in the hope of stimulating demand and generating revenue. It is based upon the idea of marginal costing recognising that set costs also have to be covered in off-peak times and any contribution is acceptable as long as variable costs are covered. (Potential variable pricing could also contain charging a premium price during peak periods in order to discourage demand but this is not such a common practice).

Examples of variable pricing include:

  • off peak rail travel
  • matinee (afternoon) prices for movie theatres;
  • out of holiday periods (off-season) rates for hotels;
  • weekend rates for telephone services;
  • mid-week rates for hotel bookings;

 


Related Discussions:- The idea of a variable pricing policy

How the personal characteristics of the buyer influence, Question 1: Co...

Question 1: Consider that you are the manager of front-line customer-service employees in a tourism/hospitality organisation. From this perspective, elaborate on the strategie

Briefly the markets relationship framework, Question 1: (a) Critically...

Question 1: (a) Critically evaluate the role of an agile network in building relationships with customers. (b) Briefly outline the six markets relationship framework.

Matlab help, [X,D] = eig(A) given X and D find A

[X,D] = eig(A) given X and D find A

First in Asia and the world, 1. As the first to set up an international air...

1. As the first to set up an international air express business in 1969, DHL had the first- mover advantage over other companies. Is being a first mover as advantageous for a servi

Circle, THE CENTER OF THE CIRCLE PASSING THROUGH THE POINT (0,1)AND TOUCHIN...

THE CENTER OF THE CIRCLE PASSING THROUGH THE POINT (0,1)AND TOUCHING THE CURV y=x2 at point (2,4)

Undifferentiated approach for selecting target market, What is undifferenti...

What is undifferentiated approach for selecting target markets? Undifferentiated Approach: In total market or undifferentiated approach, a company develops a particular

Describe which method of primary data collection, Question: a) Many Mar...

Question: a) Many Marketing Managers have their favorite research techniques. Some maintain that the only way to collect primary data is through in-depth, qualitative research

Mis, what is mis

what is mis

Explain elements of marketing strategy, Question: (a) "The purpose of a...

Question: (a) "The purpose of a company is to create a customer ... The only profit centre is the customer". In light of the statement define customers and explain the importa

What do you mean by business to business in e-commerce, What do you mean by...

What do you mean by Business to Business in e-commerce? B2B stands for Business to Business , it is the type of e-commerce. This is a mode of conducting business among two

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd