Prestige Pricing

What is prestige/ Premium Pricing?

• A marketing scheme where prices are higher than usual, for its sale life.
• Its used to alter your perception and lure you to buy the product.
• It motivates the consumer into purchasing the product or service.
• It makes people believe, the higher the price, the higher the quality.

Advantages

• Gives your business a good image
• People trust your product quality
• People will come back to buy more of the product if they trust it.
• Profit and cash margin will increase alot.
• They will gain more loyal customers.

Disadvantages

• If your price is to high people may not want to buy it.
• If the product is low quality but the price is people wont trust the brand
• Their overall sales may drop abit.

Examples Of Premium Pricing.