"willing to pay more than others"

"The reason why retailers try to offer a personalized price goes back to the downward sloping demand curve highlighted in Economics 101. This fundamental concept illustrates that, for most products, some customers are willing to pay more than others. To exploit that, pricing managers employ techniques that try to discern — and charge — the exact price that each customer is willing to pay. Outsize profits can be extracted from “top of the demand curve” customers, who value the product highly. Meanwhile, if discounts can be discreetly offered to customers with a lower willingness to pay, additional sales (and profit) are reaped. The result is a more profitable customer base, with some shoppers paying more than others."

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