The US economy functions primarily on the principle that a large portion of the population will buy almost anything if you market it to them properly, whether they need it or not.
In college I worked for a department store, Maison Blanche. I got to chat with one of their marketing experts, they said they set price points on certain items via a “3 tier system”. Obviously they would set the high end, top shelf product at the highest price with a moderate mark-up. The cheapest, bargain product with the not so well known brand name was sold with a minimal mark up as its purpose was to draw the customer into the store, not pull a profit. The highest mark up (percentage wise to actual cost) was the mid range product as many would come to the store and look at the items and while they may not be able to afford the high end product (lets say a Sony TV) they do not want to get the low end product on sale (no name TV) so they settle for the middle priced item (in comparison to the Sony, say a Panasonic at the high end, Sanyo at the low end of the mid-ranged products). The TVs were the example the marketing guy used back in the late ’80s…..
Sears paint center years ago couldn’t sell their marine grade varnish at $8 so they raised the price to $30 and couldn’t keep it on the shelf. Marketing found out nobody wanted cheap varnish to put on their boat so they just raised the price.
baddawg1989 about 9 hours ago
Kurtwood Smith’s Red Forman character from That 70s Show has one word for Roger. Seven letters, and the first half of it is ‘dumb’. :-D
Imagine about 9 hours ago
The US economy functions primarily on the principle that a large portion of the population will buy almost anything if you market it to them properly, whether they need it or not.
Sanspareil about 8 hours ago
The constipated snailster should also have been given as an option!
silverking1953 about 4 hours ago
He also sells used cars on the side.
TampaFanatic1 about 3 hours ago
In college I worked for a department store, Maison Blanche. I got to chat with one of their marketing experts, they said they set price points on certain items via a “3 tier system”. Obviously they would set the high end, top shelf product at the highest price with a moderate mark-up. The cheapest, bargain product with the not so well known brand name was sold with a minimal mark up as its purpose was to draw the customer into the store, not pull a profit. The highest mark up (percentage wise to actual cost) was the mid range product as many would come to the store and look at the items and while they may not be able to afford the high end product (lets say a Sony TV) they do not want to get the low end product on sale (no name TV) so they settle for the middle priced item (in comparison to the Sony, say a Panasonic at the high end, Sanyo at the low end of the mid-ranged products). The TVs were the example the marketing guy used back in the late ’80s…..
paranormal about 1 hour ago
He saw you coming!!!
RPS11 about 1 hour ago
Sears paint center years ago couldn’t sell their marine grade varnish at $8 so they raised the price to $30 and couldn’t keep it on the shelf. Marketing found out nobody wanted cheap varnish to put on their boat so they just raised the price.
Daltongang Premium Member 28 minutes ago
And that my dear Shakespeare, answers your question, “What’s In A Name?”.