MAKING THE PERFECT PRICING STRATEGY

Nestle is a multinational brand with a net worth of about $280 billion.

The brand’s success lies in its pricing strategy. Nestle’s revenue is growing exponentially, which reveals its products’ identification and placement in the market. The company’s pricing is fairly distinctive in contrast with other brands. Inexpensive pricing, bundle pricing, penetration pricing, and psychological pricing are the company’s top pricing strategies to achieve its targets and goals. Likewise, many other famous brands, like Apple, Rolex, Tesla, and Xiaomi, have also implemented effective pricing strategies to generate profit in the long term. According to Harvard Studies, a 1% improvement in pricing leads to an 11% increase in profits. If the pricing structure is inaccurate, businesses will lose profit after each transaction; thus, correct pricing is significant.