Premium Essay

Orgnic Lotion

In:

Submitted By salt
Words 1396
Pages 6
Organic body lotions
Determine and discuss a pricing strategy (Penetration or Skimming).
Imagine how many people in the world today are actively seeking organic body lotions. Especially when you can get it for $12 in an 8 fl.oz jar. Penetration pricing is a strategy employed by businesses introducing new goods or services into the marketplace. With this policy, the initial price of the good or service is set relatively low in hopes of "penetrating" into the marketplace quickly and securing significant market share. This pricing approach often is used for products that are of good quality, but do not stand out as greatly better than competing products. This would be the best pricing strategy for the organic body lotions because a penetration pricing strategy tries to sell the whole market at one low price. Such an approach might be wise when the 'elite' market—those willing to pay a high price—is small. This is the case when the whole demand curve for the product is fairly elastic. A penetration policy is even more attractive if selling larger quantities results in lower costs because of economies of scale. Penetration pricing may be wise if the company expects strong competition very soon after introduction. Once the product has secured a desired market share, its producers can then review business conditions and decide whether to gradually increase the price.
Determine and discuss pricing tactics (Product line pricing, Value pricing, Differential pricing, or Competing against private brands) to be used for your product. The pricing tactics for my product are as follows: (a) Product line pricing is pricing different products within the same product range at different price points. An example would be different advertisement offering different fragrances of organic body lotions at different prices. The greater the organic ingredients and the benefit obtained the

Similar Documents

Premium Essay

Size 10 on a Billboard

...an unrealistic and unattainable standard of beauty. These results compelled Dove to start their "Campaign for Real Beauty" in 2004. The campaign aims to change the standard of beauty in the world and act as a catalyst for change in society through means of communication such as advertisements, events, and funds to help females of all ages. Dove's attempt to communicate through advertising is vividly displayed in their outdoor advertisement for their new firming body lotion photographed by Rankin, but this advertisement not only attempts to show real beauty in its images. Like most advertisements, this ad's main goal is to sell the product it is displaying, and it attempts to do so through techniques of visual persuasion that utilize mainly pathos but ethos and logos as well. The advertisement's depiction of diverse women who appear to be everyday members of society instead of digitally enhanced, conventional supermodels demonstrates the ad's use of pathos to entice average consumers to buy the firming lotion. Women today are accustomed to seeing stick thin, young, seemingly perfect women strewn across advertisements. Due to the intense degree that the media floods the population with...

Words: 1613 - Pages: 7

Free Essay

Anne de Jeunesse Training Notes

... also targeting mothers etc for gifting purposes – “first skincare regime”. Range overview This line is suitable for all skin types, ranging from oily to dry, dehydrated, sensitive. The products contain a combination of proteins, minerals and vitamins to help soften, protect and restore the skin’s hydrolipid film. Resulting in firmer and more elastic skin, improving its appearance and helping to delay the onset of aging. The packaging is simple and practical – robust plastic tubes that stand up, pumps that work – yet are eye-catching and look great. Range | CLEANSER | TONER | TREATMENT / SERUM | MOISTURISER | OILY | Purity | Purity | Sensitive Hydrating Mask | Multifunction CreamHydrating Facial CreamHydra Body Lotion | COMBINATION | Purity | Purity | Sensitive Hydrating MaskLiquid Gold |...

Words: 1018 - Pages: 5

Premium Essay

Government and Politica

...achieved | |Maths |C | |English lit and Lang |C | |Science |C | |Humanities |C | |GCSE subjects |Grades achieved | |French |A* | |IT |PASS | |Business studies |C | |Geography |D | Work experience: 02/01/2011 – 03/2011 Flair cosmetics Flair cosmetics sell beauty products such make up, hair pieces and body lotion etc... I used to be a sales assistant, usually customers find it hard to buy the correct products that would suit them, as having the wrong product could cause health issues, and I always tried to find the right products that would be appropriate to their needs. Most of the times I have had good feedbacks on the products that I recommended for them. 13/07/2009 – 17/07/2009 Tinies childcare Tinies childcare is a business where they recruit nannies for children. During my work experience I had lots of tasks to deal with such as filing documents, find information about new nannies, and welcome customers when they came to our office, etc... I found that I could cope well under the pressure of having to so much work, and everything was completed...

Words: 387 - Pages: 2

Premium Essay

Abc Analysis

...ABC Analysis The ABC analysis is a business term used to define an inventory categorization technique often used in materials management. It is also known as Selective Inventory Control. The ABC analysis provides a mechanism for identifying items that will have a significant impact on overall inventory cost, while also providing a mechanism for identifying different categories of stock that will require different management and controls. The ABC analysis suggests that inventories of an organization are not of equal value. [3] Thus, the inventory is grouped into three categories (A, B, and C) in order of their estimated importance. 'A' items are very important for an organization. Because of the high value of these ‘A’ items, frequent value analysis is required. In addition to that, an organization needs to choose an appropriate order pattern (e.g. ‘Just- in- time’) to avoid excess capacity. 'B' items are important, but of course less important, than ‘A’ items and more important than ‘C’ items. Therefore ‘B’ items are intergroup items. 'C' items are marginally important. ABC analysis on household items are given below : SL No | Item Name | Monthly Demand | Item Price (Tk)/Unit | Total Cost (Tk) | % of Total Tk Vol | % of M. Demand | Category | 1 | Rice | 40 | 55 | 2200 | 9.393 | 20.833 | A | 2 | Oil | 20 | 120 | 2400 | 10.247 | 10.417 | A | 3 | Salt | 2 | 22 | 44 | 0.188 | 1.042 | B | 4 | Daal | 3 | 90 | 270 | 1.153 | 1.563...

Words: 627 - Pages: 3

Premium Essay

Sales Presentation

...family of Sisters, Myra, Mika and Maxine (also owner of the Maxi chain of Hair Boutiques). They expressed to me they thought my facial skin look so good for my age and ask me what I used. In addition to that I also heard them comment they want to sell other items at the Hair Boutique store like costume jewelry, perfumes and also have a cosmetic skin care counter. Upon hearing this information I knew they would be a great prospect. My franchise of Amway products vary from 500 items. The Amway franchise I have sells jewelry, perfumes, handbags and most important Artistry Cosmetics and Skin Care serum lotion. Since they commented on my skin and did tell them what I used which they are interested in; I thought to myself they would be also a good prospect to be an IBO as well. So I quickly arrange a meeting with the Sisters to give them a presentation the next day for the facial lotion serum I use and other products. This would be a great opportunity for them and me. The company Amway has grown in the past fifty years. The style of selling strategy is indirect marketing. Amway has merge with companies like Artistry Cosmetics, Nutralite Nutrition Supplements, Legacy of Clean, eSpring, Fulton Street Market and many other companies’ affiliation... I plan to do sales...

Words: 2149 - Pages: 9