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2 Brands with Successful Pricing Strategy

How a brand’s success can be directly correlated with its pricing strategy.

With all the competition these days, the market is oversaturated with where consumers can shop. Our phones are filled with e-commerce apps. At the touch of our iPhone screens, we are connected to the online world of any kind of product or good imaginable. With the growing access from the e-commerce industry, pricing strategy has been a valuable factor in a brand’s marketing strategy. If a consumer can find a better deal, that’s where they will buy from. Here are two brands whose success can be attributed to their pricing strategy.

ASOS

ASOS is an e-commerce retailer based in the United Kingdom. The brand sells anything from clothes, shoes, accessories, and beauty products for all gender types. The leading e-commerce brand features notable brands like Nike, Adidas, Calvin Klein, and many more. ASOS has incorporated the competitive pricing strategy into its marketing strategy. They include a wide variety of products with a range of prices. They have mid-season, end-season, holiday, and random sales throughout the year for the e-commerce users to partake in. Another huge bonus is the free shipping they normally offer. On a yearly basis, the company makes around $3 billion in revenue. Their competitive pricing rates are what has made them a leading force in the e-commerce industry and drive its community of consumer loyalty.

Nordstrom

Nordstrom is a leading fashion retailer that carries a wide selection of products. Because of the wide selection, the price range is stretched across a variety of top brands that cater to the upper-middle and upper-class of society. The retailer includes everything from clothes to home goods. With this large diversity of brands, the company is able to widen its target audience. Nordstrom hosts an annual sale and semi-annual sales every ear where customers and Nordstrom members can partake in the discounts. They also provide a very lenient return policy where customers can return on a “case by case basis” but in my personal experience, I have been able to return items up to a year later with no trouble.  They also have a Price Match Policy where Nordstrom will match the price of a product from competing retailers like competitors like Amazon, Bloomingdale’s, Macy’s, Neiman Marcus, Saks Fifth Avenue, Net-A-Porter, East Dane, Mr. Porter, ShopBop, and Zappos. Their competitive pricing strategy has largely contributed to their consumer loyalty, high customer ratings, and overall success in the retail industry.

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