Sliding Scale Prices...

se2020

Trying to work out a sliding scale of prices for a price list.
Ie. A discount for larger numbers.

I am selling drinks packages for events.
Say I price the packages at £10 per person and have a minimum charge of £500/50 people,

If I set a price of £10 per head for 50-150 people, I would like to offer a reduced price of £9 per head for 150-250 people and so on.

But, 150 people would cost £1500 however 165 people would only then cost £1485.

Is there an obvious way around this?

pramsay13

An obvious way around what?
If you offer a discount for volume there will always be a price difference. 
If you want it to be less obvious you could offer different price points, e.g. 50 - 100 = £10, 101 - 150 = £9.50, 151 - 200 = £9 etc.

se2020

pramsay13 said:

An obvious way around what?
If you offer a discount for volume there will always be a price difference. 
If you want it to be less obvious you could offer different price points, e.g. 50 - 100 = £10, 101 - 150 = £9.50, 151 - 200 = £9 etc.

What I am trying to avoid is, people that have 150 guests, ordering a drinks package for 165 as it works out cheaper than ordering the package for 150.

pramsay13

That's always going to happen doing it that way.
All they need to do is go 1 higher and pay less. 
One way around it is to offer some free when they get to a certain point so they won't pay less but you'll give out more drink. 

DullGreyGuy

You do stepped pricing so the 1-150 are still charged at £10/head but the surplus over 150 are charged at £9/head

Bookworm105

you have a fixed cost for putting on the event. Your base price package therefore must reflect that cost base in its pricing

once you have absorbed those fixed prices in your minimum charge, then every extra drink sold costs you only the cost of the drink (plus additional staffing if needed). Therefore, your profit margin on the extra number of customers is higher, so you can "afford" to lower the price. So, as dullgreyguy says, a lower price per head above a minimum initial threshold size.