What factor can intensify customer price sensitivity according to market theories?

Study for the PlayPosit Principles of Marketing Test. Engage with interactive content, flashcards, and detailed explanations. Gear up to ace your exam!

The correct answer highlights the role of the visibility of price comparisons in intensifying customer price sensitivity. When customers can easily compare prices across different products or services, it significantly influences their perception of value. Increased price transparency allows consumers to identify which options offer better deals, making them more likely to switch to cheaper alternatives if they perceive that the prices are not justified by the value offered.

In situations where consumers are aware of the prices for competing products, they become more attuned to fluctuations in price, making them more likely to react negatively to higher prices or respond positively to discounts. This heightened awareness encourages a more price-sensitive mindset, as customers weigh their options carefully before making a purchase.

In contrast, a lack of product alternatives can lead to reduced price sensitivity, as consumers may feel they have no choice but to accept the prices offered. The cohesiveness of marketing strategies can enhance brand loyalty but does not directly affect price sensitivity. Similarly, emotional attachment to brands can lead to less price sensitivity, as loyal customers may prioritize brand trust or affection over cost.

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