Brand Value & Pricing - Branding Strategy Insider

Recent brand news is full of brand value chatter. Chatter, not serious discussions. Why? Brand executives still seem disconnected from how customers perceive brand value. Consumers understand that value, not price alone, is the priority. Consumer-perceived value is based on the total brand experience relative to the total brand costs (price, time, and effort). Brand executives also misunderstand customers because they believe their brands have a specific segment, which is the “value customer.”

A day does not go by without a brand reference to value. In an uncertain environment, brands are particularly laser-focused on delivering value. Brand leaders say offering value is their strategic priority. Brands do need customer-perceived value for enduring profitable growth. But three brand-self-inflicted problems prevent customers from perceiving and receiving brand value.