Dictionary of Business Terms: prestige pricing
prestige pricing
pricing reflecting the assumption that consumers will not pay less than a predetermined price floor for merchandise since it is believed that otherwise it will be of inferior quality. Bloomingdale's, for example, does not carry inexpensive retail items since this would be perceived as inferior quality.
Dictionary of Marketing Terms: prestige pricing
prestige pricing
selling at a high price in order to create an aura of superior quality and social status. Consumer studies have shown that for some products, such as perfume or cosmetics, the buyer believes price and quality are directly proportional.
