Differentiation and Parity in Assortment Pricing
نویسنده
چکیده
Are consumers more likely to purchase an item from an assortment in which options are priced at parity or from an assortment in which options vary in price? This research examines the influence of parity-pricing and differentiation-pricing strategies on consumer choice and identifies conditions in which parity pricing facilitates choice, as well as conditions in which choice is facilitated by differential pricing. In a series of three experiments, the impact of assortment pricing on choice is shown to be a function of the uncertainty associated with consumers’ preferences and the consistency of these preferences with options’ prices.
منابع مشابه
Joint Optimization of Assortment Selection and Pricing under the Capacitated Multinomial Logit Choice Model with Product-Differentiated Price Sensitivities
Joint Optimization of Assortment Selection and Pricing under the Capacitated Multinomial Logit Choice Model with Product-Differentiated Price Sensitivities Ruxian Wang HP Laboratories HPL-2012-207 Multinomial Logit model; assortment optimization; multi-product price optimization Many firms face a problem to select an assortment of products and determine their prices to maximize the total prof...
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