Preference strategy

The preference strategy (synonym: differentiation strategy) is characterized by the fact that a provider tries to outbid its competitors in terms of services in order to be able to enforce higher prices on the market. Profit ranks before sales, ie the return on sales should be maximized.

The provider can create preferences by offering the customer an additional benefit in addition to the basic benefit (benefit).

The preferences must be constantly maintained in order to maintain sufficient scope for above-average prices. The preference strategy requires considerable financial resources for marketing (opposite: price-volume strategy).

Was the explanation to "Preference strategy"Helpful? Rate now:

Further explanations for the first letter "P"