Perceived product quality significantly affects the pricing strategy. If a product is perceived to be of high quality, it can command a higher price in the market. This is because consumers often associate higher prices with better quality. On the other hand, if a product is perceived to be of low quality, it may need to be priced lower to attract buyers. Therefore, understanding how consumers perceive the quality of a product can help in determining an appropriate pricing strategy.
Need to evaluate the best pricing strategy for a product? This Pricing Strategy spreadsheet includes...
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