A Closer Look At The Role Premium Product Creation Plays In Branding
– Eva Chen
the creation and maintenance of premium products.
In order to enjoy true entrepreneurial success, you will need to know more about the role that premium product creation plays in the branding of your company. Knowing what it takes to position your goods and services, as premium items, is key. While there are some who believe that positioning your products as premium is all about the price that you set, the process goes deeper than that.
Let’s take a look at:
- Target Audience
Branding is all about the psychological message that is sent to those who purchase your products. Price can certainly help to send that message but it is important to take the time to properly consider this aspect of the equation.
If a product is too inexpensive, the customer is going to assume that it does not have the same level of value as a product that is more costly. Conversely, a product that is too expensive will cause the consumer to believe that the company providing it does not have their best interests at heart.
Branding that revolves around premium product creation is something that all new and mid level entrepreneurs could stand to benefit from. When the customer wholeheartedly believes that the product they are purchasing is the very best that the market has to offer, the price does not matter.
These are the types of customers that you need to be developing a closer relationship with as an entrepreneur. Branding is not always about expanding your reach into areas that you would not normally consider. It is about making a promise to your customers and standing by it.
After all, what good is focusing on premium product creation when it comes to branding if the promises to the customer are not being met? If the customer is let down after they are willing to spend premium prices for certain products, this diminishes positive word of mouth and the entrepreneur’s future prospects take an immediate downturn.
The Importance of Choice
When it comes to branding, one of the most common mistakes that is made is the providing of too many choices. The consumer is going to want some level of autonomy but those who seek premium products are already going to have a strong idea of what they want and they are after. An entrepreneur that is focused on the idea of endless choice is actually selling themselves short, believe it or not.
Those who wish to be perceived as premium brands should focus on the choices that truly matter and avoid the temptation to engage in window dressing. When too much choice is provided, this makes the decision more challenging…in a needless way.
Let’s take the Apple Watch as an example. This is a product that was designed with the premium consumer in mind. However, Apple provided the consumer with too many choices. Instead of being able to sell their $17,000 Apple Watch, most customers simply opted for the $399 to $599 models.
Building a million dollar brand is avoiding what is known as a crisis of the similar. A customer may want to get the best prices but this does not man that they are willing to cut corners to do so. Offering your goods and services at discount prices will not only threaten your profit levels, it is also going to threaten your level of viability.
The smartest entrepreneurs utilize the correct strategies and do not resort to underselling their goods and services to make a name for themselves. This tactic may provide some short term returns but it is not viable over the long haul. Once the consumer has associated your products with the idea of a “value purchase”, this is a tough stain to remove from the collective consciousness.
Identifying Your Audience
Identifying your target audience is a key aspect of the proceedings. Once you have established this audience and have learned everything that there is to know about their wants and needs, it is easier to release a premium product that meets (and exceeds) their expectations.
You will also need to learn more about your competitors. This is how you are able to establish a meaningful difference and remain at the top of your chosen field. Offering premium products is great but there is no way to do this without researching the marketplace first.
Knowing who values your goods and services the most is also a major key. From there, it becomes easier to create the feeling of difference that will spur the customer into paying a premium price for your goods and services. Being able to walk a mile in the shoes of your customers is important and so is learning as much as possible about your competition.
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