Retro Hits, a local band covering songs from the 1980s and 1990s, decided they wanted to expand to more college students.Research showed students thought the current R25 ticket price was too high for a local band.To strengthen ticket demand, Retro Hits began offering R15 tickets to all fans checked in on Facebook.The band was using a:
A)variable pricing strategy.
B)price lining strategy.
C)skimming pricing strategy.
D)freemium pricing strategy.

Question

Quizplus · Accepted Answer

Retro Hits is using a variable pricing strategy by offering two different ticket prices based on the customer's engagement on Facebook. This allows them to capture two different segments of customers with different price sensitivities.

Retro Hits, a Local Band Covering Songs from the 1980s