Saturday, February 15, 2014

Pricing as a Signal


The greeting card industry is an interesting one.  They sell love ... they sell affection ... they sell good feelings ... they sell sympathy. 

So, how do you know how much of those feelings are wrapped up in the card.  One very clever thing that all the greeting card companies do is to print the price on the back of the card.  They could obviously use a bar code or some other device to obscure the price.  But, there it is - plain as day. 

If you've ever watched someone when they open a card, after they read the greeting, they will often turn to the back of the card.  They really want to see how much they are loved as evidenced by how much the sender spent.

Here's a the back of a Valentine card that I got for my wife.  The message is (hopefully) loving but
lighthearted.  But the price was $5.99.  So I love her a whole lot more than the 99 cent Shoebox card would show. 

Worth it?  Hallmark thinks so.  When buying a card to express your love, isn't love worth $5.99??

No comments: