How is you product perceived? Consumers evaluate products all the time, need or want it dosent matter. Pricing is a big factor on if a potential customer will purchase your product or a competitors. Something that stuck with me from my studies is lecturer reminding us constantly
cheap isn’t the best, never be the cheapest!
And of course he is right, Take the overused example of Apple they sell Macbooks like crazy which for the specifications are very much overpriced. How do the Macbooks sell so well? Product perception. A Macbook is seen as sleek, stylish, premium, quality, a wealth statement or even fashion statement the list goes on i could roll of many more…. The point is the perception of an Apple product is off highest quality and innovation something that you will not get with a, Acer laptop designed in Asia or a Lenovo phone even if these products are more than half the price of an Apple equivalent.
Quality perception can takes time
Product perception is very big in most markets but technology, automobiles and fashion/clothing are where it strikes most. Most times the higher or ‘premium’ perceived brands and companies are associated with the wealthy, high class and famous. Which certainly drives the notion of wanting to belong or relate.
Negative reputation can turn perception quickly
There is absolutely nothing wrong with being perceived as the premium option in a product choice and being higher priced. But you better back this up and have your product have very little mis function and recalls, do as advertised very well and be a solid product that does not have a high return or faulty rate. If these do occur you will quickly find your product being ignored for a proper pricing placed and perceived product.