Perceived value and signaling value are often an important part of a successful differentiation strategy because:
A) of the diversity of buyer needs and preferences.
B) buyers seldom will pay for value they don't perceive,no matter how real the value of the differentiating extras may be.
C) buyer satisfaction can be enhanced by clever ads that signal value that relates to the buyer.
D) differentiation is all about smoke and mirrors.
E) there are no other ways to differentiate a commodity product.

Question

Quizplus · Accepted Answer

Perceived value and signaling value are important because buyers need to perceive the value of the differentiating extras to be willing to pay for them. Even if the extras provide real value, if the buyer doesn't perceive it, they won't be willing to pay for it. Therefore, signaling value through marketing and advertising can enhance buyer perception of the value and help justify a higher price point.

Perceived Value and Signaling Value Are Often an Important Part