Marketing-565 Discussion 4

In: Business and Management

Submitted By ravstar99
Words 401
Pages 2
Bob Prosen’s words are definitely motivating and inspiring for new entrepreneurs. He emphasized on the economics underlying when the price raise for a product. He suggested organizations to follow certain key aspects where customers are interested in if there is a price hike.
Bob’s first idea to raise the price is to warn the customer ahead in time before the price hike. Providing advance warning makes customers rely and believe the honest reason for price hike. Providing the reason for the price hike would make consumers build their trust in the organizations and appreciate the price raise.
Bob’s second point is for the organizations to under promise and over deliver, its more of adding value to the product and increasing the customer base, when the value is more for the product customers obviously feel less shaken by the price raise. He also cited to understand what customer wants and thrive according to their needs in updating the product such way more value is build for the product companies sell.
The third ideology is thus the most critical of all the strategies, which is to have the feedback system from the customers. Marinating customer support team to address the grievances and issues with the product. Support and maintain a hassle free return policy with which the cost structure goes down effectively and improves the customer base. Thus the price raise of the product will not affect the product sales.
The fourth most important aspect addressed by Bob was to have a friendly and symbiotic relationship with customers. Sending newsletter which are useful for the customers, discount coupons will impress the customers and pull them to buy the product.

In addition to Bob’s points I would like to add another economical strategy to pull the customers back besides increase the price of the product is to have an effective advertising explaining the benefits and…...

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