Charging Different Prices for Different Regions from a Website

[SeanConway]

We currently have a website and we get lots of small transactions and we are trying to find our price point which gives us the most profit.

We are going to be in several different areas around the country starting this spring and we can shade our prices from other users in other regions. We have done all the primary research and it tells us to move the prices up but our business is still fragile so we don't want to swing the prices on our current users in this region. This wouldnt be drastic price increases but enough to give us a clearer understanding. I am wondering if its legal to charge different prices from one website or business?

Mc Donalds does it but then again they have different shipping costs, we have one product that can be accessed via the website.

[Nucleus]

This is called price discrimination and it is a theory in microeconomics. I don't see why it'd be illegal but it may create a backlash from your consumers. Just because something is legal doesn't make it respectable or advisable. Depending upon what you mean by "region" it might not be so bad. If, for example, you gave a discount to people in 3rd world countries, that might be a good idea.

[SeanConway]

Thanks for the input! I think that is a great idea with the 3rd world countries