As an Amazon Associate I earn from qualifying purchases.

What is Basing Point Pricing in Marketing? PDF Download

Learn Basing Point Pricing definition in marketing with explanation to study “What is Basing Point Pricing”. Study basing point pricing explanation with marketing terms to review marketing course for online MBA programs.

Basing Point Pricing Definition:

  • A geographical pricing strategy in which the seller designates some city as a basing point and charges all customers the freight cost from that city to the customer.

    Principles of Marketing by Philip T. Kotler, Gary Armstrong



Basing Point Pricing Explanation:

Basing point pricing method explains the pricing system in which organization charge the product price in two components. Initially, the organization fixes the price of the product, then the organization charges travel or shipment cost occurs while reaching to the targeted location for the customers. This additional cost is usually very high, it depends on the distance covered to reach that location. Originally, basing point is usually the same as the manufacturing point. The cost of the product increased when it moves from one place to another.

Keep Learning Marketing Explanations

What is Specialty Product?

A claim to fame item is an item that specific buyers will effectively try to buy as a result of ...

What is Retailing?

Retail, by definition, is the closeout of products or administration from a business to a customer for their own utilization. ...

What is Problem Recognition?

In issue acknowledgment, the shopper perceives an issue or need or need. The purchaser perceives a contrast between his or ...

What is Hub-and-Spoke System?

A center point and talked system is a brought together, incorporated coordination's framework intended to minimize expenses. Center point and ...

What is Supplier Selection?

Picking the correct provider includes substantially more than filtering a progression of value records. Your decision will rely upon a ...

What is Market-Centered Company?

Market direction is a way to deal with business that organizes recognizing the requirements and wants of customers and making ...