What’s the right price?

How Often Do Customers Pay Different Prices for the Same Thing?

The theory of supply and demand teaches us that consumers will pay the same prices for the same goods in a competitive market. In reality, however, markets are rarely perfect and prices fluctuate wildly, with people often paying different prices for a variety of reasons. This is especially true in “business to business” markets where pricing can be especially opaque. One of our customers, Plate IQ, has a massive database detailing just how much restaurants pay for their ingredients. Just how often were restaurants paying different amounts for the same item. ….[READ]