In-store and Online Retail Pricing Policies

The report tries to find out the differences in the pricing and promotion policies (if any) in the in-store (offline) and the online channels of retail. The report will discuss the emergence of the internet as a medium of retail and the affect that has had on the price and promotion elements of the traditional marketing mix model. Emergence of the internet is affecting every aspect of our lives. By making internet as a medium to sell things, companies have brought about a revolution in the retail sector. With the increasing demands of the customers, catering to them is not possible by the traditional marketing mix model. This requires the marketing policies to be revamped accordingly to be effective in the new business scenario with understanding the customer behaviour as the focus. The report will talk in detail about the pricing policies of the companies that want to move into online retailing be it pure e-retailers or brick-and-click companies. It is important for such companies to know about the affect of internet on the price element and the factors which they should keep in mind while framing the online retail pricing policies