Monday, October 15, 2012

Selling Value Insurance with Price-based Marketing

The holidays are approaching. The time for sales, door busters, and insane pricing is upon us. It reminds me of last year when I wanted a new TV. Holiday discounted prices finally caused me to act and get rid of my old TV.

I ventured down to my local electronics store and started checking out the deeply discounted TV mentioned in an ad. Right next to it was an even better TV for just a few dollars more. The salesperson helpfully explained to me why it was better than the cheaper TV: better picture, better sound and able to connect to the Internet. “Wrap it up,” I tell him. He continues to tell me that if I want that awesome picture I would need the gold plated HDMI cables. Fine; throw it in the cart. 


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