Price vs. value
I was reading an interesting bit on the difference between price and value and how these are defined. According to the Wiki definition, “If a consumer is willing to buy…
I was reading an interesting bit on the difference between price and value and how these are defined.
According to the Wiki definition, "If a consumer is willing to buy a good, it implies that the customer places a higher value on the good than the market price."
The article continues. "… the price is something we attach to the product. The value is the worth the consumer places on it … In simple terms, unless your price is lower than the value a buyer places on your (work), they won’t purchase."
It would be easy to get lost in an argument over these terms and how they are defined. But the salient point is that someone will not buy your work if they do not perceive that it is worth as much or more than they are spending on it.
I only wish the article answered the ancient mystery, namely how to intuit how much value a parson places on an object. If we could have this information in advance, we would be much better prepared and it would be much easier to set a price point!
D.D.
David DeCristoforo possesses an extensive resume as designer/maker of fine furniture, high-end cabinetry and architectural woodwork. His experience in professional woodworking spans a period of 35 years. For the past 20 years David DeCristoforo Design has been located in Woodland, California. During this time David's shop has ranged in scope from a "full on" cabinet production shop with as many as 15 employees to a small fine furniture and custom millwork shop, working with his son, David RBJ, a highly skilled maker in his own right.