There are different pricing strategies that a marketer will use with different products and times in order to achieve a certain goal. Some of these strategies are penetration pricing, economy pricing, price skimming, psychological pricing, product line pricing, optional product pricing, captive product pricing, product bundle pricing, promotional pricing, geographical pricing and value pricing.
The best pricing to use with the Ford Mustang 2010 is premium pricing. This is because the ford has a uniqueness that is not found in many automobiles. It has made itself a name which has very few competitors though there are many types of cars in the market. This type of model can be considered as a luxury and that is why this type of pricing is best for it. This type of pricing is given to products in order to make customers see or believe that the product is of high class and luxurious. This will attract customers who do not buying the product at a high price. Since the product is already known, as mentioned earlier, it will not be a big challenge.
A few cars bought at a high price are equal to many cars of a different brand bought at a relative low price so going at a loss will not be a problem. To keep the price at that same level through out the car's cycle, the product has to be good so that the customers buying it are not disappointed. This will make them go and tell other customers of the same class or status thus increasing the number of sales (Bulmer, 2008).
This type of model does not deteriorate with age as fast as others. This is an advantage as it will still sell at a high price even after some time. Due to its known brand, it still sells at a high price even when it is old hence there is no loss gotten. It is a profit to me as a marketer and an advantage to the customer.
