OnDemand WTP Pricing Research

Pricer’s Points: Two Cases of Price Hikes! How it matters? | Sunil Singh Rana

Price changes in business are inevitable. However how the companies make their price hike without offending the customer is critical part of business approach which the article highlights

People resist change.

Acclaimed ace investor Warren Buffet once said, “You can determine the strength of a business over time by the amount of agony they go through in raising prices”.

Gradual and small changes may not be noticed by the consumers.

Being an ardent small data fan and marketing enthusiast, I observe these changes and how they impact consumer behavior and came across two interesting case of price hike a couple of months back – One product with monthly subscription (cable service provider which we will call Cable TV) and other a FMCG company with a staple bread as product (which we will call Tasty bread).

Cable TV increased the pack price of its services from Rs 350 to Rs 400 while Tasty bread increased its prices from Rs 35 to Rs 40. A price hike of exact 14.3% in both cases.

So how the two companies introduced the price hike in the market?

Read complete article here:

Pricer’s Points: Two Cases of Price Hikes! How it matters? | Sunil Singh Rana.