Pricing Techniques Quiz Part 1

Which pricing technique creates an illusion for customers or makes shopping easier?

• Seasonal Discount

• Discount Pricing

• Psychological Pricing

• Promotional Discount

What is the purpose of discount pricing?

• To suggest status and prestige

• To create an illusion for customers

• To offer reductions from the usual price

• To increase sales volume

What does odd-even pricing involve?

• Setting prices that end in odd or even numbers

• Setting higher-than-average prices

• Pricing items in multiples

• Including several complementary products in a package

What is the purpose of prestige pricing?

• To offer reductions from the usual price

• To increase sales volume

• To create an illusion for customers

• To suggest status and prestige

What does multiple-unit pricing suggest?

• To suggest status and prestige

• To offer reductions from the usual price

• A bargain and increase in sales volume

• To create an illusion for customers

What is bundle pricing?

• Setting prices that end in odd or even numbers

• Setting higher-than-average prices

• Pricing items in multiples

• Including several complementary products in a package

Which pricing technique is used in conjunction with sales promotions?

• Price Lining

• Everyday low prices (EDLP)

• Loss-leader pricing

• Special-event pricing

What are everyday low prices (EDLP)?

• Pricing items in multiples

• Prices set higher than average

• Prices that end in odd or even numbers

• Low prices set on a consistent basis with no intention of raising them or offering discounts in the future

What is price lining?

• Setting higher-than-average prices

• Including several complementary products in a package

• Setting prices that end in odd or even numbers

• Offering all merchandise in a given category at certain prices

What are cash discounts?

• Discounts offered on all orders over a specified period of time

• Discounts offered on one order

• Discounts offered to buyers to encourage them to pay with cash.

• Discounts offered to buyers for placing large orders