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The blended pricing method

Is a combination of Cost-plus pricing & Market-based pricing method. This is where most companies end up after experimenting with different prices and learning how their customers think & feel about their product as well as the most they are willing to pay.

This method allows companies to find a balance between covering their costs with a built in specific minimum profit margin and increasing that amount in relation to how a market leading competitor is priced. Until you have a good understanding of these elements you may want to stick with your current pricing (if it's working for you) so you don't run the risk of having to reprice too often, which can cost you customers.


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This pricing method is great for items that have a high perceived value to the customer and that are difficult for the customer to produce themselves or find at a discount. The thinking in this model

Is one of the easiest and most common ways to set pricing. Start with your COGS/COSS and then add in the other costs you incur in the process of selling a product or service, then add in the amount o