Question

An ad campaign by Suave shampoo asked television viewers to identify the heads of hair of women who used Suave shampoo and conditioner and those that used the much more expensive salon hair-care products. The idea of the ad was that no one could tell which woman used the much cheaper Suave brand. By making price its selling point, Suave is most likely using __________.

Answer 1

Answer:

Suave is most likely using below-market pricing or the penetration pricing strategy.

Explanation:

Penetration pricing is one of the pricing strategies used by the companies. In this strategy, the company gains the customer's attention and market shares by offering their products at low price. This increases the demand of the product or service in the future. This strategy involves below-market pricing to sell the products.