Week two Lesson A

Sharing Economy >> they digital they run on a website or app>> they grant temporary access >> resources are from other users
company must recruit customers and providers
uber now is moving to have its own cars

1- uber
2- renttherunway.com
3- lendingclub.com (peer to peer lending money)
4- airbnb

Which of the following are characteristics of sharing economy firms?

Two-sided platform

Crowdsourced supply

Access not ownership

The individuals who provide crowdsourced resources are often called “Prosumers”

Price

We will then examine emerging digital concepts: Pay What You Want (PWYW) and Freemium pricing strategies.

Understand the pricing aspect of the marketing mix.
Appreciate how digital tools are changing how products are priced.
Learn about the Freemium model and how this pricing strategy works.
Learn what Pay What You Want (PWYW) is and how this pricing strategy works.
Analyze a real-world case that employs a PWYW pricing strategy.

Price

key concepts
1- break-even analysis
2- Price elasticity
3- Reference price

Price strategy >> by firms
Price knowledge among customers

Price strategy
1- cost-plus pricing
2- competitor-based pricing
3- value-based pricing

cost-plus pricing cost of manufacture or acquire the product plus markup percentage

value-based pricing the value of masks was 70 cents and then during the high death in New York it was $7 per mask

Price Knowledge most people know how much it will cost a product or service or they have a good idea.

Pay What You Want PWYW
price segmentation, specialprices for students and old people

strategies of PWYW
for example on bakery one bag of bread to give to any person who asks, customers could pay extra to add to the bag for new persons who come in?

for example on a digital product there is no cost to the firm to offer a free product

question: would you pay for something which has the option not to charge if you dont want to? would you give them some money?

 Content

comments are always positive even when negative

creators of content

https://en.wikipedia.org/wiki/Main_Page

https://medium.com/

https://www.quora.com/

create an account at

https://www.linkedin.com/

important resource to read

https://www.lyfemarketing.com/blog/types-of-marketing-strategies/