Penetration price strategy
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Penetration pricing is a marketing strategy implemented to draw customers to a new product or service.
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Penetration pricing is a pricing strategy where the price of a product is initially set low to rapidly reach a wide fraction of the market and initiate word of mouth.
What Is Market Penetration Pricing?
Description:Implementation Use penetration pricing only if you need an exceptionally low price to drawn attention from customers or to scare away competitors. Handlin graduated from Harvard and holds advanced degrees in marketing from Columbia and New York University. As a result, many grocers offer more extensive selections of organic foods at premium prices to boost their profit margins. First, they use it to sell new products in their stores by advertising how low their prices are compared to other stores.