Intelligent hardware sold far too expensive Come on they re just helpless

Selling price is helpless, selling too low prices also hurt their brand. Is a dilemma.

https://www.youtube.com/watch?v=Nv6oLEeBxb4

--Know @ Lu Li

Investment measure the value of a startup smart hardware company, will see the company how many users, rather than see how much turnover, how much profit. Hello Kitty iPhone 5S case

Reason is that so-called intelligent hardware, software and services value must exceed the value of the hardware itself, so that more users, profit potential will be greater in the future.

Even in the absence of better methods of realisation of case, everyone is bound to follow the way of valuation, because investment is the future, in case of future realisation of a good method, it must be the user far more likely to earn a lot of money.

Since the aim is to get more users, why many intelligent hardware pricing so expensive?

Such as a bracelet, cost less than 100 bucks, domestic brand costs six hundred or seven hundred abroad is more than 1000. Domestic entrepreneurs and I talk about it, why are you priced so high? In unison the answer is forced high, our users are iPhone users, value driven, cheaper but harder to sell.

I United States entrepreneurs talk about this problem, why are you priced so high? Still United States entrepreneurs more honest, they say price is not high at all selling out, and would not have survived. For example in the United States, smart hardware is one of the most important sales channel of BestBuy, a bracelet price is US $ 99 purchase price is less than $ 50, mainly BestBuy cost is too high. As if vendors want to lower, selling a little more, it is not possible, because BestBuy to have pricing power, it has to consider the impact on other similar products, but also to ensure their own profits. United States business is underdeveloped, product prices are generally the same as store, so above a bracelet is $ 99.

In the United States selling products to China of us $ 99, pricing nature is six hundred or seven hundred, even if the cost in China than the United States, but they did not dare to sell at lower prices, because United States users out there watching, not cheap Chinese.

Intelligent hardware manufacturer in the country at the time of release, and also hope that prices are too low, so that users will be more. But a funny thing, and people for the price and quality of recognition is that cheap must be wrong. Hello Kitty iphone 5

Like the Fitbit Flex and millet from the price 10 times, many people will think that the device must be used Flex millet bracelets, and some pseudo experts also said sell your Flex must have more advanced hardware such as gyros. In fact the opposite, millet Bracelet using the more expensive devices, because of the purchase of ultra low-power. So, if the brand is not strong enough, if the price was low, the user will not accept, but will feel what's wrong, if prices and foreign competitors, like that would be very good, the bizarre domestic entrepreneur said before the user thinking is forced.

A price as low as any user can accept, and not worry about quality, so that they can be maximized by the user, is also a kind of pricing power. Millet has the pricing power after millet bracelets, priced at 79, made after all bracelet prices to around 100 Yuan, and the wearable market has been activated. And most of the entrepreneurs in the country, does not have this kind of pricing power, only high prices, pretend to be forced, spick, inside was filled with frustration.

"The author" Sun Peng, millet ecological chain Director of product planning, know of articles from his column: Smart bucket (click here to know the original)

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