The Influence of Dynamic Pricing Strategies Among Macro Enterprises on Customer Retention

Abstract

This study examines the influence of dynamic pricing strategies on customer retention among macro enterprises in Valencia City, Bukidnon. Specifically, it aims to determine the level of pricing strategies in terms of cost-plus pricing, competitive pricing, price skimming, penetration pricing, and value-based pricing, assess the level of customer retention, and determine whether these pricing strategies significantly influence customer retention. A descriptive-regression research design was employed, with 50 enterprise-level respondents selected through stratified random sampling from macro enterprises in Valencia City, Bukidnon. Data were collected using a researcher-made questionnaire validated by research experts and measured using a five-point Likert scale. Weighted mean and standard deviation were used to determine the level of pricing strategies and customer retention, while regression analysis was employed to determine the significant influence of the pricing strategies on customer retention. Findings revealed that the pricing strategies were generally highly effective, with cost-plus pricing obtaining the highest mean among the strategies. Customer retention was also found to be highly evident, indicating strong repeat patronage and customer loyalty among macro enterprises. Regression analysis showed that the combined pricing strategies explained forty-point seven percent of the variance in customer retention. Among the five strategies, competitive pricing and value-based pricing significantly influenced customer retention, while cost-plus pricing, price skimming, and penetration pricing did not show significant individual influence. The study concludes that competitive and value-based pricing play important roles in strengthening customer retention among macro enterprises.

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