Clearance ChannelsUsing dedicated channels to clear excess inventory such as unpopular colors. Brands may take significant steps to keep clearance inventory out of sight of their regular customers. For example, firms may open outlet shops in remote suburban or rural locations.
CostsUsing pricing to recoup the costs of expensive channels. For example, a grocery store chain may operate both discount locations and full service locations that charge higher prices but offer conveniences such as wide isles and more checkout counters. market share. For example, using low prices to attract customers to your ecommerce presence to gain market share online.
Unified PricingIt is common for firms to make significant efforts to unify prices across channels for a region. Consistent and stable prices may be considered an important element of brand identity and customer experience. This may also be done to maintain good relationships with channel partners such as distributors, retailers, dealers, and sales representatives who are impacted if you cut prices on a channel such as ecommerce.
|Overview: Channel Pricing