With furlough schemes, redundancies and widespread working from home, 2020 has bowled some challenging balls to consumers. With many changing their purchasing patterns as a result, brands and retailers are facing a tough challenge of their own: pricing.
Choosing what price to charge for a product or service is one of the most basic elements of commerce, and mistakes can make or break a business model. Many brands have had to work fast to adapt to new consumer priorities, while keeping a watchful eye on their own long-term brand values.
John Lewis, for example, is in the process of refreshing its ‘Never Knowingly Undersold’ price promise, which has been a fixture for the brand since 1925. Chairman Sharon White has described the positioning as “really appropriate for the time”, but in need of modernisation. A review of the retail group’s purpose, including analysis of its entire pricing structure, is in progress.