Golf: Pro Shop - How is the average price calculated for the market study?
This article is intended for students. The average price reflects the selling price in each of the three categories (low-end, mid-range or high-end), weighted by the number of items purchased in each category.
In the market study for the pro shop, students can only see the average price. No details concerning the competitors’ price lists are provided.
The simulation calculates each pro shop’s positioning based on the proportion of items in the low-end, mid-range and high-end categories.
The first point to consider is your positioning relative to competitors targeting the same market segment. Are their average prices higher or lower?
The second point to consider is your pro shop’s positioning with regard to the other services offered at your course. Does the pro shop sell items suited to the clientele of the golf course? The positioning of the pro shop and the other golf course services should be consistent.