Marketing Management
by Philip Kotler
TASK:
Form
a group of 3-5 students, consider the following questions, share your thoughts
among the group and respond -
1.
How
might the Millersville Lions Club pool make use of the concept of segmented
pricing to improve upon their revenues?
2.
What
types of optional-product pricing might the Millersville Lions Club pool use to
improve upon their revenues?
3. What types of discounts might the Millersville Lions Club offer to improve upon their revenues?
Mini Case Study 2: Lululemon Premium Pricing
Lululemon has quickly
risen to the top of a bustling market that it played a major role in defining.
With approximately 400 stores around the world, Lululemon peddles its own brand
of yoga-inspired apparel with its instantly recognizable logo—an iridescent
lower-case “a” that resembles an “omega.” But far more than selling clothing,
Lululemon inspires an image and a lifestyle. The company exudes the philosophy
captured by its manifesto— “We are passionate about sweating every day and we
want the world to know it. Breathing deeply, drinking water, and getting
outside also top the list of things we can’t live without.” In other words,
this brand is about active, healthy, back-to-nature lifestyles and isn’t shy
about saying so. Premium price is typically a hallmark status brands.
Lululemon’s signature article is the Groove Pant, priced at $98 which is high
as compared to other top athletic apparel brands like Nike which sells which
sells its most comparable version at $90 and Under Armour at $79.That image,
complimented by a “no discounts” credo, has a fanatically loyal customer-base
willing to buy everything Lululemon without any concern about the premium
prices
GW Reference: Marketing Management by Philip Kotler, 2003, Edition11th. Pearson.
1: Relative to customer value, explain customers’
willingness to pay premium prices for Lululemon’s products.
2: Explain how price affects customer perceptions of the Lululemon brand.
USA 
India