Stratospheric audio gear prices
"Premium Pricing
Premium pricing is the practice of keeping the price of a product or service artificially high in order to encourage favorable perceptions among buyers, based solely on the price. The practice is intended to exploit the (not necessarily justifiable) tendency for buyers to assume that expensive items enjoy an exceptional reputation or represent exceptional quality and distinction . A premium pricing strategy involves setting the price of a product higher than similar products . This strategy is sometimes also called skim pricing because it is an attempt to "skim the cream" off the top of the market. It is used to maximize profit in areas where customers are happy to pay more, where there are no substitutes for the product, where there are barriers to entering the market, or when the seller cannot save on costs by producing at a high volume. It is also called image pricing or prestige pricing.
Luxury has a psychological association with price premium pricing. The implication for marketing is that consumers are willing to pay more for certain goods and not for others. To the marketer, it means creating a brand equity or value for which the consumer is willing to pay extra. Marketers view luxury as the main factor differentiating a brand in a product category."
Source: Boundless. “Market Share.” Boundless Business Boundless, 26 May. 2016. Retrieved 07 Feb. 2017 from https://www.boundless.com/business/textbooks/boundless-business-textbook/product-and-pricing-strateg...
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Millercarbon, regarding your comment about forest, that’s an assertion you will have to back up with a citation. I assert that you are flat out wrong. I can back that up. Here it is: https://www.fia.fs.fed.us/library/brochures/docs/2000/ForestFactsMetric.pdf and as any general Contractir will tell you, they quality of today’s lumber is significantly inferior to that of 100 years ago. When I did a energy retrofit of my 1850 townhouse, I made sure to re-use as much of the old growth wood in the home as possible. As for everyone else who thinks it’s none of anyone’s business how much someone spends on something, that’s an ideologically grounded assertion that 98% of science disputes, and that Mother Earth herself is rejecting almost everywhere we look these days. I’ll cite but one example: decades ago, my family used to travel by auto from NJ to St Louis every year to visit my mom’s dad. We’d stop every 300 miles or so for gas, and at every stop we would wash dozens of bugs off the windshield. Last summer, I drove 300 miles from Newburgh NY to Buffalo. Not. One. Bug. Pollinating bees are in steep decline. mankind has to learn to live within its means. That includes audio systems. Mother Earth doesn’t need us: she will simply replace us with another species. |
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