Prisförlängning

Prisförlängning is a Swedish term that translates to "price extension" or "price maintenance." It refers to a practice where a seller agrees to maintain a specific price for a product or service for a defined period, even if market conditions or costs might otherwise lead to a price change. This can be offered as a marketing strategy to attract customers by providing price certainty, especially for goods or services with fluctuating prices like commodities, software subscriptions, or construction materials.

In essence, the seller absorbs potential price increases or foregoes potential price decreases during the agreed-upon extension period. This can be a way to build customer loyalty, secure long-term contracts, or differentiate from competitors. For the buyer, it offers predictability in budgeting and reduces the risk of unexpected cost escalations.

However, prisförlängning also carries risks for the seller. If market prices rise significantly, the seller might incur losses by selling at the lower, extended price. Conversely, if prices fall, the seller misses out on the opportunity to sell at a potentially higher profit margin. The terms of a prisförlängning are crucial and typically involve a clear start and end date, the specific product or service covered, and the agreed-upon price. The feasibility and profitability of such arrangements depend heavily on the seller's forecasting abilities and risk management strategies.