Topics: Pricing, Marketing, Price Pages: 2 (681 words) Published: May 3, 2014
The price for the classes is slightly different depending on locations. For example, the branch in Sherman Oaks offers a 12 week-class, which is 45 minutes per week, at $215 and a 24 week-class at $390. Gymboree Play & Music of Westside Pavilion provides 45 minute classes at $74 per month, 60 minute classes at $84 per month, and 120 minute classes at 145 per month. Gymboree play & music of Valencia offers 45 minute play and music classes at $69 per month, 60 minute art classes at $69 per month, 3 hour school skills program at $225, 2 days a week and at $315, 3 days a week. They Gymboree play & music applies some psychological pricing techniques depending on different locations. For example, the Valencia branch uses odd-even pricing, which is a strategy that sets prices to end in certain number. The prices ending in odd numbers such as 5 or 9, offer one dollar lower than the next highest even price, assuming consumers to react better to those numbers. Also, Gymboree Play & Music of Westside Pavilion uses price listing, which is setting a few prices levels for a product line so that customers can chose one that meets their reference price they expect to pay for. Each location of Gymboree play & music has its own events and promotions. Gymboree of Sherman Oaks offers customers to get a free trial class, $15 off from the price of the class, and no enrollment fees. In Westside Pavilion, new customers can receive free trial classes, $59 for the first month of classes and no enrollment fees. Similarly, Gymboree of Valencia offers new customers to receive a free trial class, first month for $49 with no enrollment fees. These could be examples of leader pricing. Leader pricing is a strategy setting some prices very low in order to get customers into retail stores and to sell large quantities of the products. (501) Gymboree plan & music tries to attract new customers by offering the lower price and to keep them continue to attend more and different classes. Gymboree uses a...
Continue Reading

Please join StudyMode to read the full document

You May Also Find These Documents Helpful

  • The Gymboree Corporation Essay

Become a StudyMode Member

Sign Up - It's Free