Pricing strategy of Mr. Clown deliver flowers
Setting rational prices may be one of the most important management decisions we make. Our company pricing our objective most focus on the profit-oriented stragety.Let us consider each of these factors one at a time. We'll begin with the attempting to maximize our profits that keep producing and sell our creative combinitions of flowers as long as revenues exceed costs. In attempting to maximize profits, our company try to increas our customers satisfaction. The proces is that we should understand where the trends are in product, style and color, specifically to the plant and floral businesses,evaluate the competitor’s price and focus on the new product development and its’ right price. The price setting for the general bunchs of flowers are almost same as market price in the Vancouver. But the price of our company’s special product line (the creative flowers’ products) are higher than other companies’s based on the flower’s categaries. Bcause we not only sell the flowers product but also sell the creative ideas. The price settings for the flowers arrangement, we will add $5 more expensive for the service if the customers want to get a speacial creative shape/style/patten that made of flowers flollow their ideas, then we will add a service charge for the each bouquet of flowers. It’s a strategy to earn more profit for us, at the same time, we can satisfy the customers’ need. We also offer shipping discount when people buying more than 10 flower items. We give customers a 90% in the 11the flower, In this way, hopefully we could encourage people buying more items at the same time, less profit per flower items, but more profit per in total. We setting price of Mr Clown deliver flowers in Vancouver are free, moreover the wonderful magic shows also free. Because free price of deliver sevice and performance can get more potetional customers and market share.
Please join StudyMode to read the full document