PRICE V. QUALITY EXPERIMENTS The researchers conducted eight experiments that tested marketing techniques that leaned toward price or quality. In one experiment, consumers were shown an ad for a bottle of wine with either a high or low price. When subtly reminded of quality, consumers evaluated the expensive wine more favorably than the cheap wine. However, when subtly reminded of value, they rated the cheap wine more favorably.WHEN PRODUCT MARKETING BACKFIRES Sales promotions succeed when consumers perceive that they are getting a good deal, but they can also backfire if consumers perceive that lower prices indicate poor quality. Posavac gives department store J.C. Penney as an example.
Holiday Sale Backlash: Do Consumers See Cheap Prices As Cheap Products?
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