Price

Pricing decisions are an extremely important part of the marketing processes. Under pricing and over pricing can have equally negative effects. "For most purchases, consumers don’t have all the skill or information they need to figure out whether they are paying a good price. They don’t have the time, ability, or inclination to research different brands or stores, compare prices, and get the best deals. Instead, they may rely on certain cues that signal whether a price is high or low." Armstrong & Kotler (2011). Marketing: An Introduction, 10th Ed. Prentice Hall Publishing (PP 294) We have decided to price our beer in different levels to attract different buyers. Our 6 Pack will be priced at 7.00 even to suggest more value than the more common 6.99 pricings. We have chosen this method because we are not a beer for drunks but for those who like to enjoy.We have also choosen an even dollar amount to suggest more value. Our 12 pack will be priced at 13.00 to provide a small savings to those who become more commited to our brand or who enjoy a little more drinking. We are not selling a 24 pack for the simple reason that are prices reflect value and providing a 24 pack or case could display the wrong image that our Brand is try to avoid. We believe in enjoying responsibly and not over indulging. "For example, some consumers will see the $299.99 as a price in the $200 range rather than the $300 range. The $299.99 will more likely be seen as a bargain price, whereas the $300 price suggests more quality." Armstrong & Kotler (2011). Marketing: An Introduction, 10th Ed. Prentice Hall Publishing " (PP 294) We will also have kegs available for commercial consumers only and they will be priced accordingly dependant upon quanity and contract. All of our pricing decisions are based upon creating value through quality and not quantity.