What is customer value-based pricing? Describe the two types of value-based pricing.
Expert Answer
The perception of the buyer value determines the customer value based pricing. The two types are
Good value pricing is offering a fair price in line with customer perception by providing quality and good service. It is used for less costly products.
Value added pricing is unique features and services are added to the product and premium is charged for the same. This helps differentiating the product from the market.