Food Buddies : 5 Ways to Strategize the Food Product Pricing

1. Higher value Same pricing:-

Do market research and understand your competitor pricing. With this data in-hand, either develops a product with lot more features and charges more, or develop the same quality product and price it lower.

2. High Quality higher pricing:-

High price can provide a sense of “high quality” since people have a deep rooted notion that higher the price, better the quality. If you price high, be prepared to deliver what your customer expects to get

3. Low Quality Lower pricing

Similar to point #2, a lower price can indicate inferior quality. The best way is to charge higher prices by providing more value to your customer.

4. Perceived value higher pricing

Price of a product is directly proportional to “perceived value”. If you can make you product seem superior to your competitor, you can charge a premium over your competitor.

5. Higher brand value higher pricing

Price is again proportional to perceived brand value. If you have a brand value attached to your product, people will more readily pay a higher price for your products or service

3 Common mistakes on Food Product Pricing:-

•  The very common mistakes in strategizing the pricing are applying more than one strategy for single brand unless brand valuation increases.
• Applying the # 5 strategy for startup companies.
• Bench marking the inequality of Quality and Pricing.