VALUEBASED PRICING
The setting of a product or service's price, based on the benefits it provides to consumers. By contrast, cost-plus pricing is based on the amount of money it takes to produce the product. Companies that offer unique or highly valuable features or services are better positioned to take advantage of value-based pricing, than companies whose products are services are relatively indistinguishable from those of their competitors.
A company that sells basic, white, 100% cotton athletic socks would probably use cost-plus pricing, because its product does not have any special features. However, a company that sold sweat-wicking, extra-padded athletic socks could use value-based pricing and sell its socks at a higher price, because it provides something unique and valuable to athletic consumers.
- valuebased pricing—valuebased pricing translation n.The practice of charging different prices to different consumers for the same product based on what that product is worth to each consume...Dictionary of new words
- valuebased pricing—valuebased pricing translation valuebased pricing UKu USu nounu [Uu] MARKETINGu VALUE PRICINGCf. value pricing...Financial and business terms
- valuebased pricing—марк. perceived value pricing...Англо-русский экономический словарь
- valuebased pricing—марк. See perceived value pricing...Новый англо-русский толковый словарь по маркетингу и торговле