Should We Use Segmented Pricing?

Analysis and Metrics, Consumer Behavior, Marketing Environment, Member Activities, Pricing, Segmentation and Positioning

In this activity, students will explore a new pricing strategy proposed by a cinema chain that offers a $50/month subscription for unlimited movies. The cinema chain’s goal is to defend against the growing competition from streaming services by potentially attracting more loyal customers. The debate centers on whether to roll out this pricing universally or target it toward specific customer segments.

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About The Author

Geoff Fripp

Geoff Fripp is an experienced marketing educator and practitioner with many years of expertise in teaching and industry roles. As the founder of Great Ideas for Teaching Marketing, Geoff has created over 500 activities and tools to help educators deliver engaging and practical lessons across diverse learning styles and student levels. With nearly 2,000 lectures across ten universities, including 19 years at the University of Sydney, Geoff is recognized for his practical approach to marketing education. Geoff’s industry background includes senior marketing roles at medium and large firms, as well as entrepreneurial ventures. He has authored and co-authored textbooks with Pearson Education, as well as developing more than a dozen case studies for their marketing textbooks.