Question

Your business partner is strongly opposed to your proposal to charge your largest customers lower prices for your web-based services than you will charge your smaller customers. Your business partner is arguing it is unethical. Explain why both customers will be satisfied with the deal? What kind of price discrimination is this type of segmentation? How will the plan increase revenue?

Answer 1

The customers are different types in the market based on our offering service. Some of our services will go direct and some other service will provide indirectly. In this process, we may show the price discrimination for the web-based services and small customers. In coming to the web-based service, the offers main attract to the customers and they will get the products at their doorstep. So, it is a really easy thing for the customers to get the products without taking any physical risk.

The other kind of customers is smaller compared to a web-based service offer to the customers. We will give a direct discount offer to small customers in order to get a reputation. The behavioral segmentation will opt for this kind of price discrimination offer to web-based service and small customers. So, the way of price variance will necessary to fulfill the two phases of customer satisfaction. In any unit or organization is necessary to maintain the repetitive customers and as well as attract the new or other customers too. In related to the season based and events based, the cost of the value will offer at low prices to the web-based services and give another discount price to small customers with some hedge variance. In this way, the revenue will increase to the organization and as well as to the customers.