Pricing and Gender Equality

Gender equality also has its space for discussion in relation to companies' pricing strategies.

Friday, March 8, 2019

Ariel Baños, price management specialist and founder of, explains the impact of price differences by gender and recommendations to avoid polemics between companies and consumers.

It has been called the pink tax on the surcharge paid by women on certain products and services because of their gender. But there is also the reverse situation, i.e. cases where women pay lower prices than men.

The Offense of Paying Higher Prices
Companies may charge higher prices for similar products or services as long as such policies are based on socially accepted criteria. For example, a higher price would be acceptable if a unit is purchased instead of a family pack, or if immediate delivery is chosen instead of a scheduled order, or if a company loyalty card is not available. However, it is not socially justifiable that the highest price is because of the gender of the buyer.

The Offense of Paying Lower Prices
Discounts can also be offensive when your reasons are not socially acceptable. For example, a retiree or student is welcome to access a lower price on certain products or services. However, that the lower price is because of the gender of the buyer may be considered offensive in an environment that increasingly encourages gender equality.

The article notes that a study published in 2015 by the New York City Department of Consumer Affairs revealed that, on average, women pay 7% more than men for products with similar characteristics. This difference is not consistent. For example, while girls' clothing is 4% more expensive than boys' clothing, the difference reaches 13% for personal care and hygiene products such as shampoo, deodorants, and razors.

Read full article at (In Spanish).

More on this topic

Prices: Are There Several Ideal Margins?

April 2019

Because not all customers value the same proposal equally or are willing to pay for perceived benefits, sometimes the same product can have multiple ideal margins.

Ariel Baños, price management specialist and founder of, explains how there are myths about the "ideal margin" and what are the ideas to overcome these misperceptions.

Keys to Stop Competing for Price

April 2019

Identifying a segment that values the differentials of the product or service and charging a price aligned with the company's strategy are essential to avoid competing with the lowest prices in the market.

Ariel Baños, specialist in price management and founder of, explains how through the implementation of an appropriate strategy, it is possible to compete in a market where there are suppliers who charge derisory prices.

Prices: Sell Less with Greater Profitability

February 2019

The carrot strategy is to implement the right incentives for everyone to be committed to the same goal: the culture of profitability.

Ariel Baños, price management specialist and founder of, explains how through the "carrot strategy", companies can move from the "culture of volume" to the "culture of profitability."

Price strategies: Is it Worth Haggling?

February 2018

The practice of trying to get a discount is acceptable in some places, while in others, depending on the product or service in question, it can lead to doubts and harm negotiations.

Ariel Baños, expert in defining pricing strategies, explains that when negotiating a reduction or increase in a price, one must take into account the cultural factors of each country, which can differ greatly from one place to another.  "... In some countries, such as Egypt, Morocco and India, and in Southeast Asia in general, it is common to negotiate prices on all types of products and services.  It can even be considered offensive if the client pays the initial price, without even making an attempt to get some money off."

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