Would you pay more for a Nike Orange or Apple Milk?
The power of design and branding to influence your purchasing decisions is one of the most interesting and incredible opportunities companies have to elevate commodity or almost commodity based products.
Certain brands evoke an emotional response of quality and trust. There are too many to name, but we’ll go through a few examples later in this write up. One of the most prevelant examples of this is in the bottled water market. Companies have chosen to brand their water, develop great packaging and messaging enabling them to charge a 10-30% premium for a commodity product. We’ve all fallen victim to this, specifically how purchasing a particular brand makes you feel regardless of the rationale in this thought process.
A few days ago, we were discussing this concept with a current client. The conversation was based around the design of a new service offering and how the power of design can increase the perceived value of her commodity based product. She laughed and said, “I actually have a smart water on my desk right now”. Exactly!
Another example deals with the commodity of diamonds. A Tiffany or Cartier diamond is no different than any other high quality diamond, yet by branding it Tiffany or Cartier, they are able to charge a 30-60% premium on this commodity product. There is no difference between a diamond from Since1910.com or any other retailer than these other brands, yet the brand commands a premium. Branding a diamond is similar to branding flour - it doesn’t really make sense.
Peddy Mergui, an Israeli artist, has completed an exhibit detailing how products could be translated if major brands created commodity based products. The work is really quite genius and explores the boundaries of design and consumer culture.
** All images below are the work of Peddy Mergui.