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Hello
Hybrid, differentiation and focused differentiation all are products with a high perceived value.
My question is, can a product move from hybrid to diff then to focused diff?
I’m asking because i’m thinking that an organisation might try to optimise the perceived value and try to get as much $ as they could out of it so if at a hybrid they can get $10, then they might think let’s try $12.50. When they get the $12.50, they think let’s try increasing it again to $15 at the focused diff stage. Consumers would pay a higher price for something once they think its worth it…which is perceived value.
That might work but they have to persuade people to tolerate a price rise. This would probably require rebranding of the product so that the price rise was justified.
Another way if might work is if the goods become very specialised and difficult to obtain. So, for example, most photography is now done with digital cameras, but some photographers prefer the results obtained from traditional, chemical film. Cameras that use old technology are rare and have moved from mainstream to focused differentiation.
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