Question

Cassie is going to join a gym because new membership is very cheap. When she gets there, she discovers that there are added costs for towels, classes, and lockers. Although the final price is much higher than she originally believed, she still signs up. The gym has just used the ________ strategy to get Cassie to buy a membership.

Answer 1

Available options are:

a. Normative influence

b. Door-in-the-face

c. Foot-in-the-door

d. Lowballing

Answer:

Option D. Lowballing Strategy

Explanation:

Lowballing strategy is when an organization advertises its low cost product or service and doesn't advertises the hidden costs to attract customers. The customer when interacts the company the sales team most likely make sales due to their experience. Such type of marketing products is common in printers whose cost is kept low whereas the tuner price is kept high which helps them to earn profit.