Scenario 13.1
Use the following to answer the questions.
Suppose that Ray-Ban is considering a new line of sunglasses that would be sold in major department stores. The new line would be positioned as a more distinctive brand than the typical glasses sold through department stores, and would be priced higher than other brands in the store, but a lower price line than the current Ray-Ban lines that are sold through more selective stores. In determining the price for this sunglass line, Ray-Ban wants to gather information about all brands sold in department stores and about customers' perceptions of those brands.
-Refer to Scenario 13.1. If Ray-Ban selected the prices for its new sunglasses to be $60, $70, or $80, this would most likely be an example of using ____ pricing to enhance its distinctive positioning strategy.

Question

Quizplus · Accepted Answer

The odd-even pricing strategy involves setting prices that end in odd numbers, such as $59.99 or $79.95, to make them appear lower than if they were rounded to the nearest whole number. This strategy is commonly used to enhance the perceived value of a product or service. In this scenario, Ray-Ban is positioning its new sunglasses as a more distinctive and higher-end brand than other glasses sold in department stores. By pricing its glasses at $60, $70, or $80 using odd-even pricing, Ray-Ban may enhance the perceived value of its product and further differentiate it from the other brands sold in department stores.

Scenario 13.1 Use the Following to Answer the Questions