Marketing Coursework
MaPricing
What's the best way to price competitively for Twin Star? "The closer together these are, the greater the competition." (http://www.entrepreneur.com/article/223816) The reason why we have choose this strategy it allows Twin star to be more motivated to have good customer base and have guaranteed profit.
Price above the average and customers will go elsewhere; price below it and you can't afford to stay in business. Beyond that, there are strategic decisions that could affect your price point. So for Twin Star, we have decided to have prices that are affordable to our target audiences. This also allows twin star to have some kind of competition with other brands like Urban Outfitters and Blue Inc. etc. Here below is the pricing range of the products sold within Twin star. As you can see the prices are affordable and the target audience are willing to buy it from our market research and still competes. The market research gave Twin star also an idea of personalised products which comes to higher price. Price Range | Twin Stars | Urban Outfitters | Blue Inc | T-shirts | £10 | £20 | £20 | Jumpers/Hoodies | £15 | £35 | £20 | Jeans | £40 | £40 | £30 | Shoes | £30 | £40 | £35 | Hats | £5-£10 | £15 | £10 | Delivery with under £60 worth of products | £2.99 | £3.99 | £4.99 |
Market Penetration
Twin Star is in the introduction stage of the product life cycle, Market penetration pricing is suitable for this situation because it will allow the business to sell products quickly. Market penetration is essential, therefore twin star has to be consistently able to create its own trends and be original in the market to create its own looks. In competitive markets, this strategy it will generate economies of scale. The business will be able to save when buying materials in larger quantities. Bulk buying of raw materials may lower costs per unit, which leads to marketing costs allow the spread over more units, and becomes more efficient labour.
What's the best way to price competitively for Twin Star? "The closer together these are, the greater the competition." (http://www.entrepreneur.com/article/223816) The reason why we have choose this strategy it allows Twin star to be more motivated to have good customer base and have guaranteed profit.
Price above the average and customers will go elsewhere; price below it and you can't afford to stay in business. Beyond that, there are strategic decisions that could affect your price point. So for Twin Star, we have decided to have prices that are affordable to our target audiences. This also allows twin star to have some kind of competition with other brands like Urban Outfitters and Blue Inc. etc. Here below is the pricing range of the products sold within Twin star. As you can see the prices are affordable and the target audience are willing to buy it from our market research and still competes. The market research gave Twin star also an idea of personalised products which comes to higher price. Price Range | Twin Stars | Urban Outfitters | Blue Inc | T-shirts | £10 | £20 | £20 | Jumpers/Hoodies | £15 | £35 | £20 | Jeans | £40 | £40 | £30 | Shoes | £30 | £40 | £35 | Hats | £5-£10 | £15 | £10 | Delivery with under £60 worth of products | £2.99 | £3.99 | £4.99 |
Market Penetration
Twin Star is in the introduction stage of the product life cycle, Market penetration pricing is suitable for this situation because it will allow the business to sell products quickly. Market penetration is essential, therefore twin star has to be consistently able to create its own trends and be original in the market to create its own looks. In competitive markets, this strategy it will generate economies of scale. The business will be able to save when buying materials in larger quantities. Bulk buying of raw materials may lower costs per unit, which leads to marketing costs allow the spread over more units, and becomes more efficient labour.