Price has some star power, or at least you would think so since you see price advertising everywhere you go and on every TV and radio station. Yet, with all its star power, it is really meaning-less.
Selling a bottle of wine for $2.00 less than the chain store competitor is a bold move, but it is meaningless. I know its hard to believe, but it is true. If that really worked, you would be in real marketing trouble. Think about it. If that ad drew the customer from the other store, their next ad will draw them back. The customer will be going from this place to that place to this always looking for the lowest dollar amount on that product. Baloney. The hardest thing to learn in retail is that only 4% buy price, everyone else buys value.
Price is always an issue with a customer for two reasons: 1. They have been trained to talk about and to respond to price. Trained by their parents and by the media over time. 2. They want a fair deal, a good deal and they don't want to get ripped off. Though it is always an issue, the question is how much of an issue? It's really not that high on the list.
Time after time, studies have been done and on a scale of 1-10 with 1 being the most important, price usually falls around number 8. Almost dead last! So if it is that far back really, why is it plastered all over the media? I think it is very similar to why it is an issue with a customer. 1. They have done it over and over and over again, so it is natural to do it again and over again. 2. It is one way to try to promote value, even though it may very well be a lie in terms of value. It has become a strategy to get attention.
Your customers will put price where it really belongs, IF, you have more to say that is convincing. Don't try to justify price, but put yourself in the shoes of the customer and ask yourself why you would buy this product or service? Tell a better story. Pretend you're the highest price and determine your story from there. What is value to you?