Added by on 2012-09-12

If there is one thing that the Internet, pagers, fax, and cell phones have done, it has been to force everything in business toward “better, faster, cheaper”.

All these new forms of communication let customers easily shop with more of your competitors. That means more variety, bigger selection, and sometimes lower prices and better service for customers.

It also means a LOT more pressure on businesses to cut costs and offer better service. In some industries, the trend is simply unavoidable.

When computer manufacturers tried to raise the price of computers, the strategy backfired. Customers simply weren’t willing to pay for a product that wasn’t cheaper and better. In the past, when consumers couldn’t search the Internet for almost anything under the sun, many would pay higher prices and wait longer for delivery simply because they didn’t have any other easy choice.

You may still be able to take your time and keep prices high if customers don’t have many choices or perceive they don’t have many choices (for example, if you’re the best in your business and buying from anyone else would mean settling for less quality).

 

 

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