Posted in Marketing and Strategy Terms, Total Reads: 4141
Definition: Demand Oriented Pricing
Demand oriented pricing as the name suggests uses the customer demand to set up the price in the market. We first determine the customer’s willingness to pay for any good or service. A high price is charged when the demand is high and a low price is charged when the demand is low. In case of service, high price is maintained during the peak hours and vice-versa.