Lotus, a software company, also offered its Smart Suite package to consumers at about the same price as Microsoft (if purchased separately - $ 1730). Thus, selling products in sets at a more favorable price turns out to be quite effective. Even if a person needs only 3 out of 5 products, he will still prefer to buy the entire package, as he will consider it a profitable investment. The company, in turn, maximizes its profit.
Important! Price discrimination of buyers must be carried out competently. Cooperation of consumers from different groups must not be allowed. "Rich" and "poor" must not intersect.
For example, a person bought importance of lawyer database a product at a low price and then resold it to a buyer from the "expensive" segment at an inflated price. It is important to avoid this at the very beginning when organizing sales. Let's say no one except a student can enter the theater with a student ID. After all, the visitor will have to present an identity document and the right to a discount. A schoolchild will not be able to sell his movie ticket to an adult, since the controller will simply not let an adult into the show with a child's ticket.
Types of price discrimination
In economic science, different types of price discrimination are distinguished. This division allows one to better navigate the huge number of methods of using this tool and understand how they help to improve the efficiency of companies.
Perhaps the most illustrative classification is that proposed by F. Machlup. We will take it as a basis (with minor changes) when listing the variants of price discrimination.
Individual discrimination
"Haggle-every-time" or "Negotiate on every deal" is the motto of a person/company that has chosen this type of work with prices. Any sale will be carried out under bargaining conditions. As an example, we can recall the eastern market, whose traders always sell their goods at different prices. They evaluate the buyer and his solvency and try to sell more expensively, but they can make big discounts. People selling used cars on Avito and other similar sites also act in this way.
Always be prepared for the worst
Source: shutterstock.com
"Give-up-if-you-must" , or "Give in if necessary" . The seller can significantly move the price when he sees that the client is not ready to bargain any more and is going to look for another offer.
"Size-up-their-income" , or "Estimate the size of their income" . It is more difficult for rich buyers (a category characterized by inelastic demand) to get a discount, they often buy goods at an inflated price. Whereas conditionally poor consumers have the opportunity to save a lot. An example is the practice of setting prices for legal and medical services.