Price

I believe that using a multichannel distribution will be successful for my company. The textbook describes both of my distribution channels as good markets for my product. “Online shopping accounted for more than $200 billion in sales in 2012, with sales expected to reach $327 billion by 2016.13 Interactive shopping tools and live chats substitute for the in-store interactions with salespeople and product trials that customers traditionally use to make purchase decisions. Shoppers can look at a much wider variety of products online because physical space restrictions do not exist. While shopping, customers can take their time deciding what to buy” (269). By selling my product on multi channels I will be able to sell more product allowing me to keep my price at a steady rate. “Retailing's ultimate goal is to sell products to consumers, and the right price is critical to ensure sales” (269). The price I would like to sell my product for is $8. I believe this price is reasonable for the quality and quantity of my product.  “Price is also a key element in a retail store's positioning strategy. Higher prices often indicate a level of quality and help reinforce the prestigious image of retailers, as they do for Lord & Taylor and Neiman Marcus” (269). Even though my product is affordable it is still high enough to represent a higher quality product.