Marketing Mix: Price

Pricing is one of the most important elements of the marketing mix, and we at Phileas Fogg have thought long and hard about what our price point should be.  The cost for production, design, promotion, and distribution all have to be taken into consideration before making a decision.  Supply and demand will also help dictate a price point.

We also have to take into account what our competition is doing business-wise.  While we haven’t seen another product like ours in the United States, there are similar banana chips, and chip and cracker manufacturers that we can compare competitively.  We have used 3 different pricing strategies, combined with our research, to aid in the final decision.  We have used psychological, competitive, and cost based pricing strategies to help achieve our final number.  And, this beautifully designed, 3.5-ounce box of Panama Plantains will be sold at the low retail price of $1.99!