Being Very Expensive Intentionally

Being Very Expensive Intentionally

Recently there has been a lot of new coverage about folding screen smartphones with the Samsung Galaxy Fold being one of them. While watching the conference a lot of people were amazed and excited as you may have expected. But the funny thing was once they announced the price of it, which was almost $2000, you can tell people were shocked to the point where they won’t even consider it. Although this is targeting people who want to buy a luxury branded product I guess you can say.

It’s an interesting topic as many times businesses that rely solely on high ticket clients would say you should never offer anything at a low price. That would simply devalue your pricing. But then other people would say they simply have different tiers of services with different price points so that they can cater to a wide variety of clients.

I have seen either way work. I remember an example where when I went with a person to a sunglass store he was constantly telling the salesman to give a better deal. The store did go lower and one comment that came out of the associate was how he couldn’t go any lower otherwise the manufacturer would get mad. Apparently there is some kind of agreement that stores must sell the sunglasses at a specific high price to maintain the value of the brand. It’s a pretty big brand too so obviously it works for them.

I suppose it’s more of a personally prerogative to go with a pricing direction like this. But for many people it works where you sell less but can make more.

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