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A high low pricing strategy combines aspects of price skimming and loss leader pricing. It involves decreasing prices on products through sales promotion and re-increasing the price after the promotion.

High low pricing, a prominent pricing strategy in retail, involves setting prices above the market average, only to periodically offer significant discounts or promotions. This pricing strategy is designed to generate additional sales by creating a perception of …

What is a High-Low Pricing strategy, how does it work, when should you use it, and when should you not? Learn from examples and uncover the best practices.

To help you decide, let’s examine exactly what a High Low Pricing Strategy is, examples of high low pricing, the strategy’s pros and cons, and tips to setting up and evaluating a high low pricing strategy, not to mention combining it with other pricing strategies.

High–low pricing (or hi–low pricing) is a type of pricing strategy adopted by companies, usually small and medium-sized retail firms, where a firm initially charges a high price for a product and later, when it has become less desirable, sells it at a discount or through clearance sales. [1]

May 26, 2022 · High-Low pricing strategy (also known as price skimming or hi-lo pricing) is a pricing method — typically used in retail — where a product or service is initially sold at a certain price point that gets gradually discounted as demand for the offering wanes.

Feb 3, 2023 · If you work in sales, management or accounting, it might be helpful to learn more about high-low pricing and its benefits. In this article, we define high-low pricing, explain when it’s a good idea to use it, list some advantages and disadvantages of …

Aug 18, 2022 · High-low pricing is a pricing strategy in which a company introduces a product or service at a high price. The company will then lower the price through clearance sales, promotions, markdowns, special offers, or as demand decreases.

Aug 23, 2024 · Discover the pros, cons, and examples of the high low pricing strategy. Learn when to use it for maximum sales and effective marketing.

Jan 5, 2025 · What is High-Low Pricing? High-low pricing is the practice of setting the price of most products higher than the market rate, while offering a small number of products at below-market prices.