- 1. Price On Application.
Price-On-Application means simply that the price of some commodity is available on request but is not made public otherwise.
Price-on-application is used where it is impractical to provide a listed price because of other factors that would affect the price. For example, the price for a hair-dresser to blow dry someone's hair would depend on a number of factors such as the length, thickness and quantity of hair. Since a single price cannot reasonably be given the price is POA.
POA can also indicate that the seller lacks the resources to maintain an up to date public price list.
- 2. Price Over Average.
Price-Over-Average as a definition of POA reflects reflects a widely held perception that "Price On Application" means that the price is less likely to be competitive (and that cheaper prices are likely to be found elsewhere).
Here, POA is used a sales ploy. Had a customer been aware of the price then they might not have made an approach, and the rational goes that once someone has made an enquiry they are less likely to go elsewhere.