For the company we're evaluating, high price point band customers tend to spend the majority of future dollars in high price point bands. Look at the results of our equation.
- $4.45 next year in low price point bands.
- $7.24 in average price point bands.
- $22.23 in high price point bands.
It's a good thing that the high price point band customer stays there ... this protects the integrity of items at those prices. It prevents you from having to discount those items, because you have a loyal customer base willing to buy those items.
Tomorrow, we'll explore who has the most value ... low price point band customers, average price point band customers, or high price point band customers.