Essays on Demand and Easyjet Case Study

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The paper 'Demand and Easyjet" is a good example of a marketing case study. Pricing is part of the four main factors considered to shape the market mix; the others are place, product and promotion (The Times 100; Learn marketing. Net). In pricing to achieve the appropriate market mix, the right price to sell at should be established. Of the four elements of market mixing, pricing is unique since it is the one that brings in the profits while the others attribute to the cost. However, before setting the price of the product or service, there a number of things one should carefully consider in order to achieve the intended results.

Key among these is the perception and mood of the market towards the product or service (The Times 100). How does the market view the product against other similar products in the market? If the product creates the necessary appeal and confidence in terms of its quality and usage then the pricing should be done to take advantage of this (The Times 100; Learn marketing. Net). However, the price should not be set too high.

This can limit the volume of sales since a certain segment of the market may be unwilling to purchase it and opt for a cheaper alternative. The perception of consumers should be gauged against their willingness to spend. Another aspect is the season. There are services and products whose demand changes with the season. A good example will be warm clothing. When it's summer, the demand for warm clothing is usually on the decline, therefore their pricing should be set lower than during the winter season. This will enable the business to still make sales as it waits for the favourable season to reach.

A lower price will attract those consumers who purchase products early in preparation for the coming season. However, the price should not be set too low after the profitability of the business. The price should be justified against the dynamic forces of the supply and demand affecting the product in question.  

References

The Times 100, n.d. Marketing mix (Price, Place, Promotion, Product). [online] Available at:

[Accessed 18 January 2011]

Learn marketing.Net, n.d. Pricing Strategies. [online] Available at:

[Accessed 18 January 2011]

easyJet, n.d. airline company ltd . [online] Available at: .[Accessed 18 January 2011]

British Airways, n.d. Arrivals and departures. [online] Available at:

. [Accessed 18 January 2011]

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