Post by arfanho7 on Feb 28, 2024 8:29:53 GMT
When a company sets a price for a product shoppers typically have no idea what it costs to produce that item. But it turns out that consumers reward efforts to lay out these figures—to deconstruct the price tag. In fact new research shows that when a company selling T shirts for example itemizes what it spends on cotton cutting sewing dyeing finishing and transporting each shirt consumers become more attracted to the brand and more likely to purchase.
“BY UNPACKING THE COSTS YOU HAVE THE OPPORTUNITY TO EXPLAIN EVERYTHING YOU DID FOR THE CUSTOMER IN PUTTING THAT PRODUCT OR SERVICE TOGETHER” By unpacking the costs you Indonesia Mobile Number List have the opportunity to explain everything you did for the customer in putting that product or service together says Bhavya Mohan a Harvard Business School doctoral student in marketing. When firms communicate the effort that went into making a good consumers tend to value the product more. Mohan is an author of the paper Lifting the Veil The Benefits of Cost Transparency written with HBS assistant professors Ryan W.
Buell and Leslie K. John. Intimate often tightly guarded secrets the researchers say that when a firm does share this information consumers consider it a form of intimate disclosure and people are often more attracted to brands that disclose intimate information. Shoppers have greater affinity for brands that advertise how much it costs to make a product.Photo iStockPhoto If we think about our interpersonal relationships when people share things with us—as long as they don t overshare—we tend to like them better Buell says.
“BY UNPACKING THE COSTS YOU HAVE THE OPPORTUNITY TO EXPLAIN EVERYTHING YOU DID FOR THE CUSTOMER IN PUTTING THAT PRODUCT OR SERVICE TOGETHER” By unpacking the costs you Indonesia Mobile Number List have the opportunity to explain everything you did for the customer in putting that product or service together says Bhavya Mohan a Harvard Business School doctoral student in marketing. When firms communicate the effort that went into making a good consumers tend to value the product more. Mohan is an author of the paper Lifting the Veil The Benefits of Cost Transparency written with HBS assistant professors Ryan W.
Buell and Leslie K. John. Intimate often tightly guarded secrets the researchers say that when a firm does share this information consumers consider it a form of intimate disclosure and people are often more attracted to brands that disclose intimate information. Shoppers have greater affinity for brands that advertise how much it costs to make a product.Photo iStockPhoto If we think about our interpersonal relationships when people share things with us—as long as they don t overshare—we tend to like them better Buell says.
