Search results
- Captive product pricing is a strategy in which a company sets a low price for a core product but charges higher prices for necessary complementary products or accessories.
dealhub.io/glossary/captive-product-pricing/
People also ask
What is an example of a captive product?
How do you Price a captive product?
What is a captive pricing strategy?
When is captive pricing most effective?
Jun 21, 2024 · Definition and Overview. Captive Pricing: Captive pricing is a pricing strategy used by businesses to sell a core product or service at a relatively low or competitive price, often at or near cost, with the intention of profiting from related or complementary products, services, or add-ons.
Jun 12, 2024 · Captive pricing is a strategy that involves selling a basic product or service at a low price, while charging a higher price for complementary products or services that are essential or enhance the value of the main product.
Jun 21, 2024 · captive product pricing is a strategic approach that companies use to maximize profits on complementary goods. The essence of this strategy lies in the sale of a primary product at a relatively low margin, which necessitates the purchase of ancillary or secondary products at higher margins.
Jun 9, 2024 · What is captive product pricing? Captive product pricing or simply captive pricing happens when you have a core product that needs accessories (add-ons) in order to be properly used. Therefore, the final price must include the price of all relevant products.
Jun 22, 2024 · Table of Contents. Understanding premium pricing strategies. Premium pricing strategies are used to elevate the perception of a brand or product among consumers. To justify a price that exceeds those of competitor products, marketers aim to illustrate the quality of a product or the experience associated with using it.
Jun 23, 2024 · By-product pricing involves setting prices for secondary products generated during manufacturing processes. It aims to recover production costs and generate additional revenue through the sale of by-products. Use cases include manufacturing, agriculture, and energy production.