Another story about the possibility was published yesterday in the New York Times. (Click here to link.)
Implications: To repeat a thought that we’ve repeatedly expressed here, it would prudent to make sure your marketing message explains the value of your product or service, not just the price.
While low price can be an important tactic for some marketers, the position could be diluted if lots of companies are shoved into price increases by forces of inflation, such as the cost of energy or other commodities.
Further, while price often finds its way onto the consumer’s list of benefits sought, it is seldom the most important thing on the list. Think quality, ownership experience, service after the sale. If you’re not sure what your consumers want most when purchasing your product or service… ask. A little primary research can go a long way.
Mike Anderson, for the Elm Street Economics consumer trends blog. A service of The Center for Sales Strategy, Inc.