How Pricing Impacts Brand Reputation
July 21, 20153 min
Most of us are ignorant about prices. Experiments have shown that people will:
NEW THINKING
Most of us are ignorant about prices. Experiments have shown that people will:
Consciously or not, many brands are now running a freemium model.
We talk a lot about the pressures on brands to perform and about the difficulties of staying competitive in huge and rapidly changing markets.
Failing retail brands often have a second theme that unites them: discounting.
Behavioral economists refer to the decision making process brands use to set a price in the minds of consumers, especially when those buyers are dealing with something that is unfamiliar to them, as “anchoring”.