Prices Affecting The Sales Of Apple Computers

701 Words 3 Pages
Price The third important element of the marketing mix is Price. Price is vital in the purchase decision of customers. The price affects the value that clients perceive on a product when buying. Apple Company has premium brand computers that do not attempt to compete on price. The company reduced prices after initial Apple computers launch. It uses premium pricing strategies and skimming (Armstrong & Kotler, 2005). The pricing strategy rarely fluctuates and the products benefit from the low depreciation. The retail pricing control by Apple is limited with the computers subjected to considerable discounting in the intermediary channel of distribution. The discounting only affects the margin of retailers but not the company. The success of …show more content…
The Apple Company on sales of computers is among the most innovative ideas in the market giving the company the freedom to price (Nijs et al, 2001).. The marketers of the company ensure sometimes that there is a cut in the price of the computers to spur holiday sales and enhance meeting the achievement of their stated goals. The product life cycle of a product includes the reduction of prices drastically a few months after the initial release (Armstrong & Kotler, 2005). The technique helps in the competition of the latest similar products in the market with the maintenance of relevant price to consumers in the market place. Most consumers fail to purchase expensive computers when the features are good but the price is too …show more content…
The customers give a dynamic way of charging depending on social class and situations. The team ensures there is worth on pricing and not on cost only achieved by changing the customers’ perception of value. The price is suggested by the expertise of the value and not the product and emphasizing the benefits of the products. The Apple Inc. pricing mix in the analysis of the business includes discounts, cost, and competition. The marketing plan of the company must consider pricing including discounts. The use of technology in the company enhances the display of the computers on the internet (Nijs et al,

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