Points on importance of pricing in marketing are:
- Pricing in marketing is important because it determines perceived value and directly influences purchase decisions.
- Price levels shape how customers judge product quality relative to competing offerings.
- Customers often use price as a reference point to assess whether an offering is premium, standard, or budget.
- Consistent pricing helps customers form stable value expectations over repeated purchases.
- A mismatch between price and product benefits can reduce perceived value even when quality is high.
- Price changes can trigger immediate shifts in buying behavior among target customers.
- Lower prices can increase purchase likelihood by reducing perceived financial risk.
- Higher prices can discourage purchase when customers view alternatives as similar.
- Purchase decisions often depend on whether the price fits the customer’s budget and willingness to pay.