Price

“Price and service are the major marketing factors; branding and advertising tend to be less important.” (Marketing an Introduction, Armstrong /Kotler, p.212) Price is very important when it comes to a business that wants to sell a product or service. If the company does not set for the right prize the consumers will either purchase too much of it, or not purchase it at all. If the prize is too high, consumers will go to a different distributor of a similar product. If the prize is too low, the consumer will want to purchase too much of it that there might not be enough supply to complete with the demand. “A group of products that are closely related because they function in a similar manner, are sold to the same customer groups, are marketed through the same types of outlets, or fall within given price range.” (Marketing an Introduction, Armstrong /Kotler, p.219) Since there are some products that are all ready in the market, the competition with prize is very high. My plan is to sell my product for $3.99 for 2.5oz. There are people who are wiling to purchase my snack because we live in a culture where people like to have fun and enjoy a good snack. When people go out to bars and clubs, they are use to spending from $10-$25 on a drink, they do not worry about the prize. Those people want the experience and are willing to pay for it. My snack will have value, and that is what my consumers will appreciate, and will be willing to repurchase it again. “The process by which companies create value for customers and build strong customer relationships in order to capture value from customers in return.” (Marketing an Introduction, Armstrong /Kotler, p.6)