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Illustrate about the Demand Based Pricing
At times, prices are determined by the demand for product. Under this method, without paying much attention to cost and competitor's prices, marketers try to ascertain demand for the product. If demand is high they decide to take advantage and fix a high price. If demand is low, they fix low prices for their product. At times they resort to differential prices and charge various prices from different groups of customers depending upon their perceived values and capacity to pay. Take the case of cinema halls where rates of tickets differ for different sets of rows in the hall.
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Advantages to customers: 1. Easy to recognize: use of a particular brand of a producer makes it very easy for the customers to recognize the product of such producer be
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what is test marketing and various approcehes that are followed by FMCG companies in test marketing
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