Marketing Strategy: Pricing Strategies and Its Influence on Consumer Purchasing Decision

Abstract

The current study aimed to examine pricing strategies as a determining factor in influencing consumer behavior. The present research applied quantitative research method via adapting questionnaire from academic sources. The sample size for the current study is 162 which gathered via random sampling method. The results show that Penetration Pricing has significant positive influence on consumer behavior at 5% level. The results show that Price Skimming has significant positive influence on consumer behavior at 5% level. The results show that marketing sharing sites has significant positive influence on consumer behavior at 5% level. The results show that blog has significant positive influence on consumer behavior at 5% level. The results show that Competitive Pricing has significant positive influence on consumer behavior at 5% level. Moreover, all beta value is higher than .001. All models have very high adjusted R2 indicating the ability of the models explaining the variation of consumer behavior due to variation of independent variables is very high. The F-value shows that the explanatory variables are jointly statistically significant in the model and the Durbin-Watson (DW) statistics reveals that there is autocorrelation in the models.

Keywords: Pricing Strategies, Marketing, Consumer Behavior, Penetration Pricing, Psychological Pricing, Skimming Pricing