Read the word ‘branding’ and we won’t blame you if the first thoughts that pop into your head include logos, slogans, billboards and jingles. However, branding extends beyond what we can see or hear.
Something that plays a pivotal role in shaping brand perception among your consumers is your pricing strategy. Many business owners who come to our brand development agency in Sydney are often surprised to learn about this because they think how, why or what they charge belongs firmly in the realm of ROI, competitive advantage and strategic business meetings.
Your pricing strategy is not just about setting a number; it’s a reflection of your brand’s identity, values and positioning in the market. More importantly, your pricing strategy also underpins what your consumers perceive your brand to be.
You May Want To Make The World Dance, But Don’t Forget About That Price Tag
Look at luxury brands like Rolex or Louis Vuitton; their premium pricing not only reflects the exclusivity of their products but also reinforces their image of luxury and prestige. On the other hand, budget-friendly brands like ALDI use low pricing to appeal to cost-conscious consumers, establishing themselves as affordable options without compromising quality.
A higher price tag often equates to higher perceived quality and exclusivity. Apple’s premium pricing strategy has helped position its products as superior in quality and design compared to its competitors.
Similarly, Starbucks’ higher-priced coffee creates a perception of a premium coffee experience, which has contributed to its success as a global brand, since – let’s be honest – coffee already existed in many forms in the major markets (company entered) before they showed up on the scene.
When The Dollars and Cents Just Make Sense
When your pricing aligns with your brand promise and consistently delivers value, it fosters customer loyalty and trust on a deeper level than your competitor’s brand. Consumers will likely get confused if your visual branding depicts exclusive and premium luxury, but your pricing indicates that you’re an ‘everything to everyone’ type brand. Just like how your call centre or social media DM scripts need to align with your business’s overall personality, your pricing needs to walk the talk too.
Beyond pricing, there are a myriad of other seemingly small or unrelated things that influence your branding that you may not have considered previously. If you want us to take a look at your brand’s underlying mechanisms and help you develop a more authentic, seamless image, get in touch with our brand development agency in Sydney today.
