Class 16 11/03

 

  • Relationships – a bond between two parties
  • Pricing
  • Communication

 

Why do firms want relationships with customers?

 

  • Word of mouth
  • Trust

 

 

Pricing type open up by the internet

 

Auction -> Dynamic pricing

 <a href=”http://Mysimon.com” title=”http://Mysimon.
” target=”_blank”>Mysimon.com

 

 

Pricing Types

  • Cost plus
  • Comptetitive pricing
  • Demand pricing
  • Lost leader
  • EDLP (everyday low prices) – i.e Wallmart
  • Luxury pricing
  • Frenzy pricing

 

Stub-hut

E-bay

 

 

Dynamic Pricing Strategies

*decreased menu costs

  • Interactivity

 

Auction Types (important)

 

  • English auction
    • Reverse-price English auction
  • Dutch Auctions
  • First price sealed – Bid auctions
  • Reverse First Price Sealed – Bid Auctions
  • Group buying
  • Exchange
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