« Should you be blogging? | Main | Smart Post from »

August 11, 2006

TrackBack

TrackBack URL for this entry:
http://www.typepad.com/services/trackback/6a00d8341e5ea453ef00d834dc893b69e2

Listed below are links to weblogs that reference Why is this wine so expensive?:

Comments

Feed You can follow this conversation by subscribing to the comment feed for this post.

J.F.

Here is my thought...Price is a factor not only of costs but of perceived value by INFORMED buyers. Informed of your product, educated in that area. If someone asks why is it so expensive, they are really asking "why does my lack of experience and knowledge of this product suggest that your asking price is much too high?" That tells you that the buyer in front of you is not viewing the product as "worth it." If you watch a PBS show, Antiques Roadshow, how many times are you surprised to learn that old photo found in Grandma's basement is worth ten thousand dollars...YIKES! It is becasue the approiser is trained to kow that genre, and the "price" awarded is designed around it being sold to another collector who knows the value of that photo/piece.

I think the woodworker tries to 'educate" the buyer on how hard it was to make that piece. Probably not successful.

"This bowl is most definitely a one-of-a-kind piece of art that took a lot of skill to make. (Buyer doesn't know enough if it is one-of-a-kind, and more importantly, probbaly doesn't care) In my opinion it is worth every penny I am asking for it. (Because he knows the value based upon experience.) Until the day that a customer agrees with my opinion, I am quite happy to keep this piece in my studio to admire myself and as a talking point for visitors. (Again, all he needs is one customer who is informed of the work, educated in this area, experienced to recognize true skill and its' uniqeness.)

Just a thoght...market to customers who understand the value of your product, and you will minimize price issues. Just MHO.

P.S. My thoughts presume you are not a crook and cheating on price, that too will be discovered by experienced buyers, and ruin future business.

Derek Andrews

Thanks J.F. for your comments. You are absolutely right that I should be marketing this item to a different clientele. Unfortunately I have little control over who walks into my studio or passes my booth at a show. But I have to ask you J.F., if I don't spend time informing people about my work, who else will? I it wrong to try to expand my customer base?

It should of course be noted that my blog post made no attempt whatsover to address the question of the benefits of ownership, a much harder question to address than the cost of manufacture. But that is of course the point that really makes the sale. If the customer can't reconcile the benefits (or perhaps perceived benefits) to the asking price, there will be no sale.

And you are absolutely right that my attempts at educating people who ask this question will probably not result in a sale. But if I can move them just one rung up the buying ladder, or instil in their minds a little enthusiasm for woodturning, I have not been wasting my time. Very often they will end up buying a very inexpensive gift item like a wine bottle stopper or spurtle. It could be that they go on and show that to friends, relatives or children, who might then visit my website and buy a large quantity of personalised wine stoppers for their wedding favours. A long shot admittedly, but spending a few minutes talking to another human being about something I am passionate about is a small price to pay. I am a strong believer in giving visitors to my studio a memorable experience. This is what starts word-of-mouth marketing.

Jim F

Derek, I appreciate your response and thought I would provide my two cents back to you.

Thanks J.F. for your comments. You are absolutely right that I should be marketing this item to a different clientele. Unfortunately I have little control over who walks into my studio or passes my booth at a show.

You are correct; the only thing you CAN control is what you say, and the allocation of your time. So, as you go on to say, educate them, maybe sell them what they do understand (custom corks), and “make a friend” to create viral marketing.

But I have to ask you J.F., if I don't spend time informing people about my work, who else will? Is it wrong to try to expand my customer base?

“No, of course not, but try to be clear that you are not really expanding your customer base; they are not customers yet! You are creating a new customer base and that may require new tools or marketing materials. For example, I spent time on your site, nicely presented FWIW. In your booth or shop, do you display a collage of photo’s of what goes into creating a piece? Materials that educate a customer, not requiring your personal time can be helpful. When I saw how much work goes into creating granite counter tops from mines in Italy to installation, I understand why they cost so much! “

It should of course be noted that my blog post made no attempt whatsover to address the question of the benefits of ownership, a much harder question to address than the cost of manufacture. But that is of course the point that really makes the sale. If the customer can't reconcile the benefits (or perhaps perceived benefits) to the asking price, there will be no sale.

“That is what I addressed above, find new tools to educate the people who visit you, convert them into potential customers, and then close them. Art collecting is an art in itself. It is learned behavior and appreciation, so it can be done. ”

And you are absolutely right that my attempts at educating people who ask this question will probably not result in a sale. But if I can move them just one rung up the buying ladder, or instil in their minds a little enthusiasm for woodturning, I have not been wasting my time.

“Not so much of wasting your time, but utilizing your time best. I also am self employed and find I need to focus on efforts that are most likely to provide success. “

Very often they will end up buying a very inexpensive gift item like a wine bottle stopper or spurtle. It could be that they go on and show that to friends, relatives or children, who might then visit my website and buy a large quantity of personalised wine stoppers for their wedding favours.

“An excellent point…BTW, I loved the testimonials on your site, and the wedding corks, one suggestion…tell me what process is used for the personalized inscription, is it ink or burned in? “

A long shot admittedly, but spending a few minutes talking to another human being about something I am passionate about is a small price to pay. I am a strong believer in giving visitors to my studio a memorable experience. This is what starts word-of-mouth marketing.

“All true and loving it makes it easy, easier than engaging new disciplines to be more efficient or effective! That too is my problem. Make sure some of those photo’s you use on your website are mounted in your shop.”

All the best to you!

Janais

Good point. I hadn't tuhhogt about it quite that way. :)

The comments to this entry are closed.

My Photo

Your email address:


Powered by FeedBlitz


Blog powered by Typepad
Member since 09/2004