WE HAVE ALL WONDERED WHY PEOPLE ARE WILLING TO PAY 2-10X MORE FOR A WATCH, A COOLER, OR PHONE. THE ANSWER CAN BE FOUND IN THE EXPERIENCE AND BRAND STORY.
When people purchase a high-end watch, cooler, or meal they are not saying that they believe the timekeeping ability, ice retention, or caloric value of what they just purchased is in line with the price they paid. They are saying that the status, the sense of belonging, or the experience justifies the higher price. Companies can routinely increase prices after taking the time to truly understand what matters to their customers and building a customer-flow around that.