Do you find yourself attached to a famous brand? Or you only care about the price and functionality?
According to market surveys, there are two main types of customers.
The first one belongs to the price-sensitive segment, while the second one belongs to the quality-oriented brand segment. Yet, there are various subtypes in between.
You may say that you are brand-oriented in some categories, while you can be price-sensitive in some others.
It is true. But before we elaborate on this matter, let us first recognize what we mean by brand.
What is a brand name?
A brand is a sort of a name or logo attached to a product or service. This is a nominal definition of a brand.
From a practical and experimental stand, a brand is more than just a name or logo.
It is an emotional connection that a person creates consciously or subconsciously towards a certain product or service.
This emotional connection stems from a person’s experience with that product or service.
The experience augments or diminishes this emotional connection.
Brand’s connection to quality and price
A prevailing impression is that a brand should be of high-quality and pricy.
Is it always the case? Not necessarily.
A brand is not always pricy. Quality is not always a famous brand and high price. But a trendy brand with high-quality is pricy most of the time.
The matter seems confusing and interrelating, which it is.
The connection between brand and price underlines the quality issue.
There is a common impression indicating that quality means more money. It is somehow true since quality is about an assurance that this product or service can deliver the expected functionality and performance.
When this expectation is met or exceeded, the product or service is perceived as high quality and value. This is called a value proposition, whereby a brand promises customers of its value.
Now, the assurance matter is where the cost is involved. The assurance can take the shape of features, which are translated into benefits for the customers.
The product producer or service provider carries the costs of the features onto the user.
Hence, the relationship between brand and quality begins.
Quality strengthens the user’s experience, which means a better emotional connection. In turn, this translates into a better brand image.
It doesn’t mean that a brand always guarantees higher quality.
Consequently, we can have two types of quality brands. One is a luxury brand with high quality; the other is an affordable brand with high quality.
The first is expensive, while the latter might not be.
Both types can create an emotional connection with the associated brand, whereas the luxury one is where the emotional connection is higher.
This explains why some people like famous brands. It is more about the euphoria of the experience and its associated emotions.
The best example of this euphoria is Apple.
Many high-quality tech products with lesser price are available in the market; still, many prefer Apple. No wonder it is the most valuable tech-brand in the world.
Nevertheless, it hard to find a cheap product with high quality. To be honest, it is too good to be true. But, you can find a high-quality product at an affordable price.
On the other hand, if a brand lacks quality, the brand image could lose esteem, even if it gains some attraction in the beginning.
A good example of that is the case of the influencer Kylie Jenner and her Brand Kylie Cosmetics. The Kylie Lip Kit made a hit in the beginning, but soon after customers found it was of low quality, the product became a liability.
Now, let us find out how brands can be categorized
1st: Affordable quality brands:
As mentioned earlier, affordable quality brands are brands that customers perceive as good quality and can afford.
Now the trick is in the affordable word.
Affordable is a relative and an elastic variable. What you see as affordable can be cheap or expensive to others. On the other hand, what you may see as expensive or cheap could be not for others. Customer perception is critical here, whereby income can be a major factor.
Accordingly, the market has adapted to this variability by dividing products into two main streams.
The first one is the mainstream, where the majority share their perspective towards this product.
The second one is the niche, where only a number of customers have a common understanding of this product. A number doesn’t necessarily mean a few people. It depends on the market size.
Now, successful companies have become aware of the customer segmentation mentioned earlier and its associated product stream.
A reflection of this awareness is the understanding of consumer behavior by adapting the right algorithms and technology.
This helps them create the required processes to retain and acquire customers by understanding what customers need, want, desire, and aspire to have. It is a facet of artificial intelligence.
Two of the best companies that have managed to apprehend the connection between the customer and the product are Walmart and Inditex.
It is a marketplace, where quality meets affordability. No wonder why it is the world’s biggest retailer by revenue. Walmart is the marketplace, where you could have decent-quality products at affordable prices.
The name might be unfamiliar to some, but when you see its associated brand names like Zara, Pull&Bear, Massimo Dutti, and Bershka it becomes familiar.
By adopting the right processes of fast retailing, Inditex became the world’s most valuable fashion retailer. It has managed to supersede ailing famous fashion brands like Gap and Levi’s.
Both of these two companies are considered affordable quality brands.
2nd: Luxury Brands
When it comes to luxury, there is one name that sits on the top, LVMH.
LVMH is not only a fashion brand; it has around six different sectors and 75 houses.
The most famous fashion houses are Louis Vuitton, Fendi, Celine, Christian Dior, KENZO, and Marc Jacobs.
It is the most valuable luxury group brand group in the world.
If you are looking for deals, offers, and discounts, this brand is not for you.
If you are looking for a profound emotional connection and a different experience, this will be your brand.
Such brands are not just an experience; They are a prestige, class, and message.
3rd: Affordable Luxury Brands
Before we delve into what affordable luxury brands are, let us identify the connection between luxury and affordability.
Based on what we have explained earlier, what seems to define luxury is the value perception precipitated by the customer, while the market reflects upon this perception with the perceived offerings.
Whereas customer enjoys the feeling of exclusivity, experience, and value of a luxury brand, market pursues to increase sales and profits by giving more of such brand.
In other words, the market seeks to increase sales repetition by the existing customers, expanding customer base, or both.
Brands, which manage to achieve this increase without affecting the brand image by offering discounts, offers, and deals, can stay afloat as a luxury brand.
Brands, which cannot manage to achieve the sales increase, may resort to discounts, offers, and deals. Among these types of brands comes the connection between luxury and affordability.
Now, the brands that manage the balance between the luxury image and offerings, can succeed to be an affordable luxury brand.
Those brands that get drifted by the offerings risk brand-dilution.
Accordingly, hereinbelow some of the famous affordable luxury brands:
- Michael Kors: It may be known for its women’s handbag collection, but this brand has a variety of amazing products: shoes, outfits, watches, and men’s section.
Moreover, it has great deals and sales you can enjoy. Yet, you need to act quickly if you like something as it gets sold out before you know it.
- DKNY: It is another affordable brand with its sales collection. You can find style, trend, and value in the same place.
- Ganni: It is a contemporary fashion-designer brand for women. If you are looking for a unique modern look at an affordable price, this brand can be your choice.
- Kate Spade New York: It is a lively brand that reflects the culture of diversity and metropolitan. It is a women-only brand, where you can personalize your favorite item.
- Ted Baker London: It is a brand for men and women, who seek elegance, style, and contemporariness.
- Coach: If you are looking for the prestige that can match the luxury, this brand can be your choice.
Why do we like famous brands?
It is a question that brands can answer by giving you what you want because they understand you as a customer.
Can you afford it? This one you can answer.
Where can I find these brands?
The best option is to go directly to the store website and find what you like.
You can find some goods deals at some famous department stores like Nordstrom or Macy’s. Sometimes it is hard to find what you are looking for at Amazon or eBay.
If you find it difficult to ship your favorite product to your place, you can resort to one of these services that can help you get it to your doorsteps.
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