Marketing 3000 Joel Poor exam 3
Study online at https://quizlet.com/_2uqvbc
1. Discount And Al- Adjustment Strategy where companies adjust their prices in order to reward cus-
lowance Pricing tomers (examples: early payment of bills, volume purchases, off-season buying)
2. Cash Discount price reduction to those who pay in cash
3. Quantity Discount Price reduction to buyers who buy large volume
4. Noncumulative given for a single purchase (Buy One Get One Free)
quantity
5. Cumulative quan- Discount is given over a number of purchases (Get 9 hair cuts get the 10th free)
tity discount
6. Functional Dis- Offer given by the seller to trade-channel members who perform certain func-
count (AKA Trade tions (selling storing, bookkeeping)
Discount)
7. Seasonal Dis- Discount to buyers who buy merchandise out of season
count
8. Trade-in-al- Price reduction given for turning in an old item (phone, car)
lowance
9. Promotional Al- payments or price reductions to reward dealers for participating in advertising
lowances and sales support programs
10. Segmented/ Dis- Companies adjust prices to allow for differences in customers, products, and
criminatory Pric- locations
ing
11. Customer Seg- Different customers may pay different prices (Example: cars)
ment Prices
12.
, Marketing 3000 Joel Poor exam 3
Study online at https://quizlet.com/_2uqvbc
Product Form Different versions of the product are priced differently (not variable to actual
Pricing costs)
13. Location Pricing Charges different prices for different locations
14. Time Pricing Price Varies based on time (season, month, day, time)
15. In order to use 1. Market Must Be segment-able
segmented pric- 2. Segments must show different degrees of demand
ing... 3. Cost of segmenting and watching the market cannot exceed extra revenue
obtained by price difference
4. Must be legal
16. Psychological consider psychology of pricing not only economics (types reference pricing )
Pricing
17. Reference pricing Prices that buyers hold in their mind and what they refer to when looking at a
given product (what you think the price is based on past prices)
18. Department store Anchoring and Adjustment
retailers mark-up
prices and then
offer discounted
sales prices (50%
off)
19. Odd Pricing practice of using prices like $.99 $19.95 $99.99
(May also use Even prices like Nordstrom)
20. Promotional Pric- Companies will temporarily mark their products below list price or cost in order
ing to creating buying excitement and urgency (Black Friday)
21. Loss Leaders products priced below cost
, Marketing 3000 Joel Poor exam 3
Study online at https://quizlet.com/_2uqvbc
22. Special Event Pric- Type of promotional pricing where prices vary in certain seasons (Back to school
ing sale)
23. Low interest Fi- type of Promotional pricing where manufactures may offer longer warranties,
nance free maintenance in order to reduce the consumers price
24. Industry Price Caused by frequent use of Promotional tools which result in few market leaders
Wars dominate market and constantly compete against each other
25. Geographical Different Pricing for different part of country or world
Pricing
26. FOB-origin pric- practice that means goods are placed free on board
ing (producer pays for shipping)
27. Uniform Delivery Company charges the same price plus freight to all customers regardless of
Pricing location
28. Zone Pricing Company sets up two or more zones and bases their pricing on what zone the
purchaser is in
29. Basing Point Pric- Seller selects a specific city and charges all customers the freight cost from that
ing city to the customers location
30. Freight absorp- Seller absorbs all or part of the actual freight charges in order to get the desired
tion pricing business
31. Countertrade Receiving payment in some form other than cash
32. Transfer Prices prices are set determining the cost of products shipped between headquarters
and foreign markets
33. Dumping Pricing products very cheap in foreign markets in order to increase sales in other
markets
Study online at https://quizlet.com/_2uqvbc
1. Discount And Al- Adjustment Strategy where companies adjust their prices in order to reward cus-
lowance Pricing tomers (examples: early payment of bills, volume purchases, off-season buying)
2. Cash Discount price reduction to those who pay in cash
3. Quantity Discount Price reduction to buyers who buy large volume
4. Noncumulative given for a single purchase (Buy One Get One Free)
quantity
5. Cumulative quan- Discount is given over a number of purchases (Get 9 hair cuts get the 10th free)
tity discount
6. Functional Dis- Offer given by the seller to trade-channel members who perform certain func-
count (AKA Trade tions (selling storing, bookkeeping)
Discount)
7. Seasonal Dis- Discount to buyers who buy merchandise out of season
count
8. Trade-in-al- Price reduction given for turning in an old item (phone, car)
lowance
9. Promotional Al- payments or price reductions to reward dealers for participating in advertising
lowances and sales support programs
10. Segmented/ Dis- Companies adjust prices to allow for differences in customers, products, and
criminatory Pric- locations
ing
11. Customer Seg- Different customers may pay different prices (Example: cars)
ment Prices
12.
, Marketing 3000 Joel Poor exam 3
Study online at https://quizlet.com/_2uqvbc
Product Form Different versions of the product are priced differently (not variable to actual
Pricing costs)
13. Location Pricing Charges different prices for different locations
14. Time Pricing Price Varies based on time (season, month, day, time)
15. In order to use 1. Market Must Be segment-able
segmented pric- 2. Segments must show different degrees of demand
ing... 3. Cost of segmenting and watching the market cannot exceed extra revenue
obtained by price difference
4. Must be legal
16. Psychological consider psychology of pricing not only economics (types reference pricing )
Pricing
17. Reference pricing Prices that buyers hold in their mind and what they refer to when looking at a
given product (what you think the price is based on past prices)
18. Department store Anchoring and Adjustment
retailers mark-up
prices and then
offer discounted
sales prices (50%
off)
19. Odd Pricing practice of using prices like $.99 $19.95 $99.99
(May also use Even prices like Nordstrom)
20. Promotional Pric- Companies will temporarily mark their products below list price or cost in order
ing to creating buying excitement and urgency (Black Friday)
21. Loss Leaders products priced below cost
, Marketing 3000 Joel Poor exam 3
Study online at https://quizlet.com/_2uqvbc
22. Special Event Pric- Type of promotional pricing where prices vary in certain seasons (Back to school
ing sale)
23. Low interest Fi- type of Promotional pricing where manufactures may offer longer warranties,
nance free maintenance in order to reduce the consumers price
24. Industry Price Caused by frequent use of Promotional tools which result in few market leaders
Wars dominate market and constantly compete against each other
25. Geographical Different Pricing for different part of country or world
Pricing
26. FOB-origin pric- practice that means goods are placed free on board
ing (producer pays for shipping)
27. Uniform Delivery Company charges the same price plus freight to all customers regardless of
Pricing location
28. Zone Pricing Company sets up two or more zones and bases their pricing on what zone the
purchaser is in
29. Basing Point Pric- Seller selects a specific city and charges all customers the freight cost from that
ing city to the customers location
30. Freight absorp- Seller absorbs all or part of the actual freight charges in order to get the desired
tion pricing business
31. Countertrade Receiving payment in some form other than cash
32. Transfer Prices prices are set determining the cost of products shipped between headquarters
and foreign markets
33. Dumping Pricing products very cheap in foreign markets in order to increase sales in other
markets
