How to price goods and service bundles
Thursday, June 2, 2016 - 09:50
in Mathematics & Economics
For consumers with two left thumbs, purchasing a product that comes with installation included makes a lot of sense. But for retailers, the quandary is how to price the package in a way that's attractive to the buyer and profitable for the seller. Marketing Professors Jeffrey Meyer and Venkatesh Shankar posit a solution in "Pricing Strategies for Hybrid Bundles: Analytical Model and Insights." The article is forthcoming in the June 2016 issue of the Journal of Retailing.