Many believe that price is one of the most important factors that people consider before buying a product. That’s the reason why so many brands offer discounts and low prices.
But then again, customers also believe that higher prices signify greater value. People think that a university that charges higher tuition is automatically more prestigious. More expensive wines are considered superior to cheaper bottles. Case in point: when a Scotch brand was marketed in the US many years ago, sales actually began to climb when the manufacturer raised its prices.
So if your competitors suddenly slash their prices, you don’t always have to reciprocate by doing the same. Here are some strategies and ideas that will make your brand more attractive even if your competitors are offering lower prices.
- Build your reputation for quality. This is perhaps your most effective strategy, as it works well even in the long run. If you know that your products are more expensive, make sure you let people know that you make quality products the highest service standards. Let them associate your brand with quality.
- Trumpet the superiority of your products. Emphasise why your products or services are better. Pinpoint the specific features that justify your price point.
- Offer a longer warranty or guarantee period. This is one of the most concrete signs that you have faith in the quality of your products and services. When your competitor offers a 1-year guarantee, give yours a 2 or 5 year guarantee. Really stand buy your business like it is bullet-proof.
- Point out that a higher price tag at the start may actually mean more savings in the long run. For example, if you offer an appliance, emphasise that your products can last for many years. A cheaper product may only last a single year, and that means they have to buy the same appliance over and over again.
- Launch tasteful and elegant ads. Some ads that emphasise lower prices do tend to look cheap, don’t they? So your ads should be the epitome of class and elegance. Your product is more expensive, so you may as well emphasise that in your marketing as well.
- Invest in clear manuals and website instructions. Your customers should be able to use your products easily, and that means offering clear and easy to understand instructions. Manuals should enable your customers to set up or use your products quickly. On your website, feature videos for setup, use, and maintenance of your products.
- Provide superior customer service. Your customer service staff should be professionals who have been extensively trained in fielding answers about your products and services. They should have a friendly attitude and show a willingness to help. This confirms the superiority of your brand.
Matching the lower prices of your competitors could eventually put you out of business. Highlight your strengths and let your customers know that they are getting better value for their money by choosing your brand. Customers are always willing to pay more if it means receiving superior products and services.
