off-peak pricing
Cheaper slow hours
Off-peak pricing is charging less during times of lower demand.
Electricity costs less at night, flights are cheaper midweek, gym memberships drop outside morning and evening hours.
The strategy shifts consumption away from busy periods: Off-peak pricing makes the 6 a.m. train more attractive.
The opposite is peak pricing or surge pricing.
- time of useWhen something is employed
- marginal costPer-unit production increase expense
- smart metersAutomated utility usage recorders
- demand curveGraph of price versus quantity
- energy conservationUnchanging total in closed systems
load balancing · sustainable consumption · parking fees · gym memberships · carbon footprint reduction · car rentals · red eye flight · cheap seats · behavioral economics · opportunity cost · loyalty programs · sunk cost · cost-benefit analysis · shoulder season · happy hour · early bird special