Pricing Strategies for Online and E-commerce Window & Door sales

Window and Door Manufacturers and Dealers – Which Pricing Catalog and Price Models work Best for Mobile Apps?

Many pricing book/catalog styles are available; the question is, which is the easiest to maintain and fastest over the internet?

Marked-up Cost:

Suitable for highly competitive situations. It requires the systems to calculate costs and apply a markup globally or by pricing categories, such as base product, glass, or options. A marked-up cost pricing strategy requires accurate costing information and frequent maintenance.

Price by design:

Suitable for selling Predefined or Standard products. It requires that price tables be set up for each design resulting in dozens or even hundreds of tables that need to be maintained. It is by far the most maintenance-intensive pricing structure.

Price by Window Type:

requires pricing tables (such as WxH pricing, Square footage Pricing, or United Inch pricing) for each window/opening type + option pricing. Requires far fewer tables to maintain than #2 above, but still remains maintenance extensive.

Regarding speed over the internet, they are all almost equal as the server does all the work. It is only a question of which is the fastest to process.

For Manufacturers:

While Price By Design is the fastest computationally, I recommend Marked-Up Cost followed by Price By Window Type as these are the easiest and cheapest to maintain.

Marked-Up Cost is the most flexible and best for estimating. It also ensures that changes in parts or labor costs are immediately reflected in the price.

If this is not feasible, then Price By Window Type will ensure your prices remain constant regardless of costs. It is also a very easy way to

For Dealers: (Especially those who work with many suppliers)

I would recommend Marked up cost as there is no need to create elaborate Bills of Materials to get an accurate cost.

For more information and a no-obligation discussion of your needs, please do not hesitate to contact Sherif Eldibani seldibani@opejanela.com

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