Everyday low price, commonly abbreviated as EDLP, is a pricing strategy in which a retailer offers its products at a consistent, low price without engaging in sales or markdowns. This approach is intended to provide customers with a sense of predictability and value, and to avoid the need for customers to constantly monitor prices and wait for sales in order to get the best deals. EDLP can be contrasted with other pricing strategies, such as high-low pricing, in which prices fluctuate based on sales and other promotions.
By offering everyday low prices, retailers can potentially improve customer satisfaction by providing customers with a consistent and predictable pricing experience. This can simplify customer purchase decisions and can help to avoid post-purchase regrets. Additionally, EDLP can potentially increase customer loyalty and repeat business by providing customers with a sense of value and consistency. Retailers may also offer to match the prices of competitors on the same products in order to further differentiate themselves and provide customers with additional value.
Here are six examples of retailers using everyday low pricing:
- A discount grocery store that consistently offers low prices on a wide range of products without engaging in sales or promotions.
- A home goods retailer that consistently offers low prices on furniture, appliances, and other household items without engaging in sales or promotions.
- A drugstore chain that consistently offers low prices on pharmaceutical products, personal care items, and other health and wellness products without engaging in sales or promotions.
- A clothing retailer that consistently offers low prices on clothing, shoes, and accessories without engaging in sales or promotions.
- An electronics retailer that consistently offers low prices on computers, tablets, and other consumer electronics without engaging in sales or promotions.
- A discount department store that consistently offers low prices on a wide range of products across multiple categories without engaging in sales or promotions.