Comment by chaiii
7 years ago
I wonder if it's sustainable though. If you keep raising the prices and people buy what you're selling, and then eventually realize the quality isn't up to par of what they're paying for.
7 years ago
I wonder if it's sustainable though. If you keep raising the prices and people buy what you're selling, and then eventually realize the quality isn't up to par of what they're paying for.
No matter what you think you are selling, you are always selling the buyer's experience. And for some work, framed the right way, high prices improve the experience.
I'd modify this statement to "you're selling the customer a story", but you're right. When trying to sell a customer an expensive wine, you don't say "This is a cherry-chocolate red wine with earthy undertones", you say "This is a 1787 Chateau Margaux, grown on the left bank of the Garonne estuary in the Médoc region, in the département of Gironde."
Nobody will follow that up with "but what does it taste like", they'll say "oh that's very interesting I'll take it", despite the fact that the whole point is the taste.
By the way, there's nothing wrong with this. Experience is HUGE in how you perceive something. Consider your favorite wine from your honeymoon.
Let's say you're at a restaurant on the beach in Greece, the sun is setting and the weather is perfect. There's a light breeze, and you can hear the waves gently breaking on the shore. You take a sip of the wine and it's wonderful, so you buy a bottle and take it home. You rave to your friends and when you finally crack it open, they're not nearly as impressed as you were. It's not an uncommon story, and it's because half of the enjoyment was the perfect day, the perfect weather, the perfect setting.
It absolutely does. Some expensive things aren't all that high quality. It's just expensive for the sake of being expensive.
Remember the "I'm Rich" app on the iPhone years ago? It was just a picture of a spinning diamond. I think it was like $1000 per download? The dude who made it had a bunch of sales before Apple took it down.
People will definitely buy stuff JUST because it's expensive.
In principle you are always selling access to your work. Raising prices reduces access and thus increases exclusivity.
It is question of marketing.
This is a fantastic quote
> then eventually realize the quality isn't up to par of what they're paying for
Will they?
https://www.washingtonpost.com/news/morning-mix/wp/2017/04/2...
> Nordstrom is selling “mud-stained” jeans to the tune of $425. They’re called the “Barracuda Straight Leg Jeans” and come with some sort of fake mud substance caked all over them. (It’s not clear what that substance is.) The knees, pockets and crotch of the jeans appear bear most of the faux brown muck.
If the fake mud is high quality and doesn't just flake off...
This is much like the relic electric guitar market. Fender Custom Shop sells guitars for a premium that look like they've been dragged behind a truck (distressed nitrocellulose finishes, scratches, dings, hardware patina, sanded necks, &c.)
or White Nike AF1s. People are obsessed with keeping theirs looking perfectly new. Dr Dre famously claims to never wear a pair more than once.
The other day I saw Nike started selling dirty looking ones new. There truly is something for everyone!
Wasn't this the whole designer ripped jeans of the 90s?
You mean the late 20-teens? They are being sold now...
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Eventually you become a Veblen good. Or you finally get to work less hours.