As the service grew in popularity, Spotify gradually increased its prices in order to increase profitability. The company offered a low-priced, ad-supported version of its service in order to attract customers and gain market share. Spotify: Spotify, a music streaming service, used a penetration pricing strategy when it first launched.By offering low prices on trendy clothing, the company was able to attract price-sensitive customers and gain market share in the highly competitive U.S clothing market. H&M: When fast-fashion retailer H&M first entered the U.S market, it used penetration pricing to attract customers and gain market share.By offering low prices on flights, the company was able to attract price-sensitive customers and gain market share in the highly competitive European airline market. Ryanair: Ryanair, the Irish low-cost airline, used penetration pricing to gain market share in Europe.By offering low prices on a limited selection of products, the company has been able to attract price-sensitive customers and gain market share in countries like the United Kingdom and United States. Aldi : German discount supermarket chain Aldi has used penetration pricing to gain market share in several countries.As the service grew in popularity, Walmart gradually increased its prices in order to increase profitability. The company offered low prices on its grocery delivery service in order to attract customers and gain market share. Walmart: Walmart used penetration pricing when it first entered the grocery delivery market.The company introduced its smartphones with low prices and high-end features, which helped it to attract customers and gain market share in the highly competitive Indian smartphone market. Xiaomi: Xiaomi, a Chinese smartphone company, used a penetration pricing strategy to gain market share in India.As the company grew, it gradually increased its prices in order to increase profitability. The company offered low prices for its rides in order to attract customers and build a large customer base. Uber: When Uber first launched its service, it used penetration pricing to attract customers and gain market share.This helped the company to increase its profitability while still maintaining a large customer base.

As the Kindle became more popular, Amazon gradually raised the price. The company set a low initial price for the device in order to attract customers and gain market share. Amazon Kindle: Amazon used a penetration pricing strategy when it first introduced its Kindle e-reader.This allowed Netflix to increase its revenue and profitability over time, while still maintaining a large customer base. As the company built a large subscriber base, it gradually increased the price of its service. Netflix: When Netflix first introduced its streaming service, it offered a low introductory price in order to attract customers and gain market share.

Penetration price examples