Price
The pricing method used will be a combination of cost-based pricing and customer-value-based. This is because the elements that will make up B.E.A.M’s production and marketing costs will be rather high due to the commitment to sustainability and the innovative technologies used. Therefore, a substantial profit margin must be calculated based on all variable and fixed costs and take into account the perceived value of the final product in order to ensure profitability. The price will also be selected based on the financial capabilities of the target audience and the amount they’re willing to spend on luxury cosmetics. In this way B.E.A.M can guarantee that they will be able to maintain a captive audience.
Price Architecture:
• Full capsule bundle (x4 eyeshadows, lipstick, concealer, bronzer/blusher, foundation) £216= 20% discount
High Price • Concealer refill £22, Concealer casing £30 (combined price: £52) • Blusher/ bronzer refill £25, Bronzer/ blusher compact £30 (combined price: £55) • Eye shadow palette £30 • Foundation refill £30, Foundation bottle £35 (combined price: £65)
Mid Price
• Eyeshadow refill per shade: £10 • Lipstick refill £13, Lipstick casing £15 (combined price: £28)
Lowest Price 48
B.E.A.M bettering environment and mind
