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Is price skimming effective? (ROI)

Asked 2 years ago

Is price skimming a good pricing strategy to implement, and will it work for any store?

Robert Ochoa

Sunday, March 27, 2022

Price skimming, if done right, can boost your business overnight. With this strategy, you can achieve a higher ROI and more significant profit margins. To ensure you get optimum benefits of price skimming strategy, here are a few prerequisite conditions:

  • When you are the only brand making the product (First mover).
  • With limited competition in the market, you can fully benefit from the skimming strategy.
  • The market/demand of the product is inelastic.
  • If you have a competitive advantage over other products, usually because of patents.
Дима Зимба

Дима Зимба

Monday, April 18, 2022

Thanks a lot

Timmy Turner

Timmy Turner

Friday, November 18, 2022

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