PSYCHOLOGICAL EFFECTS OF PRICE PERCEPTION IN FORMING OF BRAND VALUE

Abstract

The problem of the effective pricing is actual nowadays, in fact the price is the factor where the potential customers pay special attention during the choice of commodity or service. The search of balance between mark- on the commodity and level of population’s solvency is success of the enterprise. The special attention is paid by the researches of price perception by the consumer and his psychology, determinations of psychological methods, on the basis of the pricing process, and analysis of brand value, passes as a separate aspect that directly influences on the cost of brand. The main purpose is describing the essence of different psychological effects, that influence on consumers’ price perception and methods that marketing specialists use during the forming of brand value is given in this article. At forming of price, it is needed to take into account psychological effects of price perception that is followed by majority of potential customers in the process of choice of commodity or service. Basic psychological effects that influence on consumers’ perception of commodity cost during the process of purchase are determined in the article. To such effects belong: effect of comparison, id est that, how the potential consumer reacts on the commodity cost, comparing its with analogue; effect of contrast that helps to increase volumes sale; effect of extreme variants, that is used mostly in the service; effect of relativity, that proves that people can perceive the same discount in different way. The effect of honesty, odd prices and other price effects that influence on consumer’s choice during the process of commodities acquisition is investigated. Basic methods, which are followed by producers during the forming of price on new commodity or service, are given. Among such methods, it is possible to distinguish the cost of prestige and free supply price. The essence of concept of brand value, its descriptions over and basic differences from the commodity cost is exposed; the basic terms of forming of brand value and its influence on consumers and their purchasing properties are given. Basic and additional advantages of brand value that would influence on the purchasing decisions of consumers are described. Directions of creation of basic advantages of brands value are analysed. The influence of experience of the commodity use on its general value in the consumer’s eyes is investigated. The influence positioning of brands on their perception, external aspects, such as commodity packing and its design, and their influence on the brand value are analysed. General reputation of producer and consumers’ emotions automatically create additional demand on the commodity, increasing its value is marked.