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Wednesday, September 08, 2004

Petite and Plus Size Pricing

While visiting a weblog the other day, I read this comment about how petite size clothing are priced higher than regular size clothing. This is apparently true for the same store, and the same style. Another person who submitted her comment also observed that plus size clothing are also priced higher than regular sizes. They were wondering why the stores don't just price all the sizes the same since they add that the regular size clothing are the only sizes that get marked down during a sale.

The only reason I can think of is that stores price discriminate because the intensity of demand for different size people are not the same. Regular size people are more price sensitive because they have other alternatives (store brands know this and thus price competitively so they wont shop elsewhere). Petite and plus size customers are not as price sensitive because it's hard for them to find their size so store can charge them more.

It's like airline tickets, higher price for business fliers (they fly on short notice and buy last minute), lower for tourists (they plan way ahead, bargain hunt, and buy early).

3 Comments:

  • At 6:55 PM, Anonymous Anonymous said…

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  • At 9:47 PM, Anonymous Anonymous said…

    Hey F, nice name! Actually business class is not really that expensive, when you calculate the sqm of plane that you get for your money compared to economy. But what is evil is last minute economy tickets. My brother just paid 700 Euros for a 700km flight. Well his company did. But with Ryanair you can even get free tickets these days...
    Well, keep on blogging :)
    Ingat from Laguna

     
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