Price is the amount of money need to pay for using a goods or service, or the sum of the values that customers exchange for the benefits of having or using the goods or service. Price is the major factor affecting buyer choice and still remains one of the most important elements determining firm’s market share and profitability.
Pricing objectives can be classified into four major group: profitability objectives, volume objectives, meeting competition objectives, and prestige objectives. DiGi company objective is meeting competition objectives because DiGi have to set prices to match industry leaders ...view middle of the document...
Competitive pricing means pricing that design to deemphasize price as a competitive variable by pricing a goods or services at the general level of comparable offerings. DiGi use this techniques to entice customers purchase services from them. DiGi try to reduce the emphasis on price competition by matching other firms’ prices and concentrating their own marketing efforts on the product, distribution, and promotion elements of the marketing mix.
Pricing policies include psychological pricing, price flexibility, product-line pricing, promotional pricing, and loss leaders and leader pricing. Psychological pricing based on the belief that certain prices or price range make a good or service more appealing than others to buyers. We stress that certain pricing tactics may have a psychological effect such as when DiGi using the benefits of easy prepaid for example buddyz voice calls free using from 12.00am-6.00pm. This is a psychological tactics that will effect consumer behavior when consumer seeing the services is free. Beside of that, promotional pricing also a policy of DiGi. Promotional pricing means a discount price for a set of period time but the price is not the actual price for the product. DiGi also like to use promotional pricing to attract the consumer. For example, when DiGi launch a new product, they will offering the product to attract the consumers. When the consumer having the interest about the new product, they willing to spend more money to buy it.