How to Profit from Premium‐priced Brands or ″Pile It High, Sell It Cheap″ – and Go Bankrupt!

Abstract

Too much emphasis has been given in recent years to competition on price and not enough to building customer loyalty through strong branding based on well‐promoted product quality. While this is understandable under the pressures of recession, continuous price cutting and the consequent squeeze on margins leads to the replacement of distinctive brands by undifferentiated, minimalist, low‐margin commodities which lack marketing support. A better understanding of business, retailer and consumer needs and perceptions of value for money can lead to the more profitable strategy of “charge high and give more”.

Citation

Wolfe, A. (1992), "How to Profit from Premium‐priced Brands or ″Pile It High, Sell It Cheap″ – and Go Bankrupt!", Marketing Intelligence & Planning, Vol. 10 No. 11, pp. 29-37. https://doi.org/10.1108/02634509210021573