Pricing For Perishable Products Considering Customer Behavior And Loyalty In Community Retail Environment

In recent years,community retailing has gradually become the main scenario of small retail formats,and the proportion of perishable goods in the community retail category is increasing.In order to study the pricing strategy of perishable goods retailing in the community,this paper extracts two main characteristics of "retail competition" and "customer behavior" from "community retail scenario".Starting from the market demand function of competitive retailers,this paper comprehensively considers the factors which affecting product price,such as consumer preference,strategic behavior and choice loyalty in the relatively closed community,and explores these factors,and then explores their influence on pricing decisions and sales returns of competitive retailers.Based on the introduction of perishable goods,customer loyalty,customer selective behavior and other related theories,this paper summarizes the relevant literature of perishable goods supply chain pricing,competitive retailing,consumer behavior and loyalty at home and abroad.In order to study the pricing problem of perishable goods considering customer behavior and loyalty in community competitive retailing,one-stage pricing model and a twostage game pricing model are established respectively.The equilibrium solution is obtained by theoretical deduction and MATLAB programming.Through sensitivity analysis of the parameters of the model,the influence of each parameter on retailer's business decisionmaking is sorted out.The rationality of the method and conclusion is proved by numerical analysis.The reasons for some phenomena in community competitive retailing are explained,and relevant suggestions are provided for the retailers of perishable goods in reality.The main conclusions are as follows:1.The retail price and profit of competitive retailers decrease with the increase of customers' preference for price,and the decline gradually slows down.When both retailers choose to maintain the same price strategy to avoid price competition,or when customers' preference for price is not obvious,retailers need to adopt marketing measures to enhance user stickiness and cultivate customer loyalty,so as to expand the market and improve profits.When the customer demand of one retailer is less than that of the other,it will tend to compete in price and reduce the price to attract customers to improve its competitiveness.At this time,it should be noted that in the case of one-stage pricing dominated by manufacturers,one of the retailers has a relatively small market size and is grabbed too much revenue,resulting in low profits.Usually it will be forced to withdraw from the market,and then there will be a shift from a duopoly market to an oligopoly market.2.In the two-stage pricing,the retailer's profit increases with the improvement of customer loyalty.The two-stage pricing is relatively stable,and the fluctuation affected by loyalty is relatively small.The increase of retailer's profit is mainly attributed to the positive effect of loyalty on customer demand.The high-price strategy is adopted in the first stage by the party with the larger value of strategic loyal customers,while the high-price strategy is applied in the second stage by the party with the larger value of strategic conversion customers.The competitors choose the high-price mechanism or the low-price mechanism through the strategic response of their respective customer groups.The negative impact of the growth of strategic customer proportion is weakened by the combination of the two mechanisms.Faced with the situation that consumers have higher valuation of the second phase of products or the same strategic response structure of customers,both competing retailers will choose to avoid price competition in order to reduce the adverse impact of market demand fluctuations on their own profits.When the customer loyalty of both sides is equal,the retailer can increase the price with the increase of the proportion of strategic customers and the price increase in the second phase can be greater than that in the first phase if the value of the products of both sides is equal and equal to the upper bound of the value,while consumers' product valuation to both competing retailers is influenced by intertemporal discount factors and competitive prices,retailers should reduce prices with the increase of the proportion of strategic customers.If a competitor's loyal customer and the converted customer's valuation are not equal to the upper bound of valuation at the same time,the retailer's total profit decreases with the increase of the proportion of strategic customers when the strategic loyalist's valuation is higher and the strategic converter's valuation is lower.