Price vs. value

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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.

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