Explanation:

Product form pricing can be a subset of premium pricing and is one of the pricing techniques used when a company wants to get maximum benefit for its brand name or maximum leverage from recently launched popular products. One of the users asked me a question on product form pricing & iI thought of writing out the answer as an article. Product form pricing is an interesting type of pricing strategy.  Let me explain it with an example.

Supposing that company X launches a product – which is product A. This product was moderately well accepted in the market. Now company X launches product B which is very very well accepted in the market. The product has already used skimming price and has an average price in the market.