If consumers don’t see your brand as premium, then it’s not.
Over at Forbes, Ewan Spence on the pricing of the Samsung S6 and Galaxy S6 Edge:
Pricing details around Samsung’s Galaxy S6 and Galaxy S6 Edge are starting to come out, with an expected street price in the UK of £550 for the SIM-free Galaxy S6 (and £650 for the Galaxy S6 Edge). While these prices are unconfirmed, they are higher than the entry-level competition of the iPhone 6 and iPhone 6 Plus.
Arguably the price difference could come down to Samsung running with 32 GB of storage compared to the 16 GB Apple has fitted to the iPhones, but I do like the idea of Samsung exploiting a higher price than Apple. If the Galaxy S6 and Galaxy S6 Edge handsets turn out to be more expensive than the Apple iPhone 6 and iPhone 6 Plus, then Samsung will have some powerful arguments available to help sell the device.
Spence “likes the idea of Samsung exploiting a higher price than Apple.”
Wait, Spence has more brilliance in his brain to share:
Now the Galaxy S6 and S6 Edge have the advantage Samsung should push hard on the specifications battle. That will be helped by Apple essentially ducking the numbers fight, so Samsung should be able to play hard on the fact that the S6 is a more powerful phone with more features.
And the easiest way to say that a phone is ‘better’ than another phone is to be more expensive.
Is that the easiest way to say ‘better’? Just make it more expensive? Maybe Toyota should try that with their Corolla. Just add $10K to the price tag.
Premium pricing only works if your brand is perceived at premium and this perception is controlled by people who buy your products, not the company making them.
I don’t think this will prove a winning strategy for Samsung, but since they’re clearly in the game to copy everything Apple does, fuck it. Go for it, Samsung.