Which characteristic is indicative of high-low pricing?

The characteristic indicative of high-low pricing is frequent discounts leading to fluctuating demand. High-low pricing is a strategy used by retailers to set a regular price that is typically higher, which they then periodically reduce through promotional sales or discounts. This creates a price perception where customers know that they can expect temporary lower prices, which can lead to fluctuations in demand as consumers wait for these discounts to purchase. This pricing strategy aims to attract both deal-seekers and those willing to pay higher prices at other times, effectively managing inventory and maximizing sales across different customer segments.

In contrast, consistent pricing throughout the year reflects a different pricing approach, such as everyday low pricing, which does not involve frequent promotional discounts. Low prices with occasional spikes are more characteristic of dynamic pricing rather than a high-low pricing strategy, and promotional pricing strategies applied only during holidays don't capture the essence of the ongoing nature of high-low pricing, which involves regular sales events throughout the year.