Prices for your store items, if not managed accurately, might draw away possible customers. As a budding businessman, we sometimes forget that aside from being an entrepreneur we are also buyers in the first place. Putting reasonable prices for your store items is one of the many considerations when you are starting your business venture. The prices determine the competitive point of your store. Remember, pricing is a marketing strategy. However, you have a good edge in setting prices for your products when you stock high-quality merchandise that isn’t available at any other location.
Setting prices for your products is related to how much have you spent when you acquire it— the cost of your goods and the operating expense.
How much did you pay for a box of apple? How about your travel expense when you bought the item?
Placing reasonable prices is also focused on your target clientele. Consider that most of us are price sensitive. Keep in mind that good product pricing is when consumer could afford to pay while gaining a profit.
Who usually buys your apples? School children? Mothers? Students? Office employees?are they willing to pay that apple?
Charging the right price is determined on the price offered by your competitors. Be flexible in pricing your items. But do not sacrifice the quality of your product and take advantage of the competition.
Is the price of your apple the same with the other apple vendors? Are your apples crunchier and sweeter than the others? Could you lower down your price than the other vendor? Do you offer special price if somebody buys apples by volume?