Price drives consumer purchases… yes, we’re stating the obvious
http://www.wwd.com/business-news/the-price-of-the-new-frugality-1910836
I was just reading the WWD article above and this paragraph jumped out at me:
“… price still counts for a lot. According to a new study by Young & Rubicam Inc. advertising, price triggered purchases of 80 percent of 2,500 brands people bought from 2004 through the first quarter of 2008, well before onset of the economic crisis last fall. “
Brand and quality matters too, but sometimes price and the discount amount is just that trigger that you react to. I got a black wool dress from J Crew for $30 and thought it was the best deal ever because that was like 70% off. But if I found that same dress with an original price of $30 at a no name brand at a store, I might pass… Maybe it’s not the absolute price people react to, but the perceived discount and “value” they are saving.
