Pricing Your Product or Service

8. Vanishing Opportunities

Some goods and services are valuable today and worthless tomorrow. Your pricing should reflect the situation.

8.1 Perishable goods are worthless after their sell-by date.

• If you sell off goods cheaply, ask yourself if the same customers would have bought full-price items.

8.2 Many products gradually become obsolete as improved models become available or as fashions change.

8.3 If you have to sell off goods cheaply, explain the reason for the special offer. If your story is plausible, your customers will still have faith in your everyday pricing.

• Offer the goods at special prices to regular customers first to generate goodwill.