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The alternatives are: - merge the two products in one: the higher-end users would pay less (for the same quality), but the lower-end ones would pay more (for a
by pizza234 3y ago
The alternatives are:
- merge the two products in one: the higher-end users would pay less (for the same quality), but the lower-end ones would pay more (for a slightly increased quality); lower-end clients (which make up the majority of the client base) would likely end up buying other products instead, since the product wouldn't meet the price point anymore
- make the products physically different: both higher-end and lower-end users would pay more, for the same quality
Artificial product differentiation is ugly, but it does have a purpose.
- chii 3y ago> it does have a purpose. yes, the purpose is to maximally profit off the product line. Consumers hate it. Companies that do it are costing them reputation, if consumers get the hint that they're being price discriminated against.
- slim 3y agothey could just add a design detail (like not having sennheiser logo, or having it in a different color) to signal the costly model and that would be fair for everybody