Buyer Beware – Middle Tier Pricing

by admin on November 26, 2007

Be aware that some wedding vendors such as photographers, videographers, caterers, etc.  will display their price lists with the most expensive packages first because market research indicates that the typical consumer will gravitate towards the middle tiers of pricing regardless of what the actual prices are.  Once you get over the sticker shock of the highest price, the second tier of pricing doesn’t look so bad in contrast.  However, this is a pricing ploy to get the consumer to readily accept higher priced mid range packages as “average”.  

Videographer Tom Winninger spoke at the 1995 and 1996 WEVA conventions and advocated making 4 levels of pricing, then hiding the one next to the bottom so you have a top, a near-top, and a bottom tier.  The purpose then is to make the bottom package so inadequate and unappealing that consumers were manuvuered into buying a higher priced package in the upper mid range or tier. The hidden price package is only revealed when it became apparent that the potential client would leave the sales appointment without signing a contract.

While imaging vendors despise price negotiating, the only way you will discover if your vendor is using this marketing tactic is to ask the vendor if the packages he has offered are his best deal or the only packages he has available. If he does reveal that fourth hidden price package that is more in line with your budget, you must then consider if you want to hire a vendor who was willing to deceive you into buying a higher priced package.

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