People Will Pay More
Here in America, we’ve been ingrained that the best costs more. A Morton’s hamburger certainly costs more than a Wendy’ burger. A BMW costs more than a Chevy. A Montage room costs more than an entire Holiday Inn Express. These are easy comparisons. But price compare between a Montage room and a Four Seasons or a Ritz Carlton room along with the resort experience and it gets more grey than black & white.
For decades, there has been research and case histories supporting the theory that Share of Voice equals Share of Market. In other words, you spend more on advertising and grow your brand and it pays off. Delta over Jet Blue, Budweiser over Miller, Coke over Pepsi.
With increased financial investment in brands, it usually comes down to the stronger brand in your prospect’s mind. And that’s all attributed to effective marketing. People will pay more for a well-known brand. You see it at the grocery store every time you shop. Store brand ketchup as compared to Heinz. No comparison.
Brand building matters in this more price competitive world. People still buy from people they like and brands they trust. And an investment in your brand is well worth it.