Thursday 15 January 2009

Is The Price Right?

Perhaps before I need to, I finished my pricing structure today for my customers who in turn will sell it on to consumers.

I looked at my pricing in two ways - one where the retailer could just buy a bundle now and again, whenever they felt the need (like Pay As You Go with mobile phones) and the other a longer-term assured price built on a contract with a minimum spend per month. With the PAYG option a discount would be offered for the size of the bundle which is bought each time. For contract customers, a similar type of discount would be offered, though with the contract the discount is applied to the annual spend of the retailer.

And depending upon a number of variables that the retailer is willing to accept, a further discount would be offered. I thought of the key things that I think will drive sales for this product but might need additional incentive for the retailer and have offered fixed levels of discount in return for these elements.

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