Shaping the Marketing Offer Essay Example | Topics and Well Written Essays - 500 words

Shaping the Marketing Offer - Essay Example Basically when one shops for necessities or functional items like vegetables, bread paper towels and so on, they are not likely to worry too much about the price. But when they buy some item, even a food item like ice cream, which is not a necessity, they become price conscious. In a larger social group, among friends for instance they may not hesitate to spend on the ice cream. As Kirk L. Wakefield and J. Jeffrey Inman point out, most people do not like to be thought of as 'cheap' or miserly when in a group. In this context it can be said that it is highly price sensitive people who will shop for value in a website like Price line. As is mentioned in the article 'Markets, Pricing Models and Digital Economics Evolution of Markets', Price line uses what is called the Reverse Pricing Model. Here consumers can 'name their price' which is state the price they are willing to pay for the product. If the service provider, (airline, hotel, mortgage company etc) is agreeable to that price, they get it. The travel and mortgage business, which is highly price- sensitive, is the core focus of Price line.