Posted In: Strategy by
Sophie Cork,
March 18, 2026
By Sophie Cork, Senior Strategist
Whether it’s rising production costs, aggressive discounters or the flood of low-priced lookalike products, brands across every sector are feeling the pressure. With shoppers more careful and considered than ever, it’s easy to assume that deeper discounts or more frequent offers are the only way to stay competitive.
But the evidence suggests otherwise. In fact, racing to the bottom on price doesn’t just erode margin – it risks weakening the very thing consumers value most: confidence that they’re making a smart, worthwhile choice. As Les Binet has consistently shown, excessive price promotion may deliver short-term volume, but it comes at the cost of long-term brand equity and profit.
In this blog, our Leeds agency’s strategy consultant Sophie Cork explores why brands don’t need to be the cheapest to win, and how trust and perceived value shape which brands people buy. Or, as Mark Ritson thoughtfully puts it: “Price is what you charge, value is what they perceive”
Our recent research on buying behaviour in the Home & Garden category , Changing Rooms, Changing Minds, illustrates that price-cutting is not only unnecessary, but actively risks weakening the very thing consumers want most from the brands they choose. This aligns with a broader shift identified across FMCG and retail, where brands are rediscovering “pricing power” as a core growth lever rather than a constraint.
Across a nationally representative survey of 600 home improvers, our research showed that value for money emerged as the single most important factor driving brand choice, with 88% of consumers ranking it at the top of their list. Crucially, this does not mean cheap. In fact, being the cheapest option came much lower at just 44%. Consumers are actively rejecting purely budget-driven decisions in favour of products that balance affordability with quality, durability and long-term usefulness.
This is the heart of the price–quality trade-off: people want reassurance that what they are buying will last. They will happily pay more for something that feels like the right investment, but they need confidence to justify it.
In addition, the latest Vypr Pricing Perception Report shows that cost alone isn’t the deciding factor it’s often assumed to be.
Vypr’s testing reveals that the biggest drivers of price perception are:
In other words, people are doing a quick mental trade-off: “Am I getting enough for what I’m paying?”. Behavioural economists would call this a “fair value heuristic” – a fast, intuitive judgement rather than a rational price comparison.
When consumers assess value, they’re not simply choosing the cheapest option – they’re looking for something that feels fair, useful and worth it. They’re not rejecting higher prices. They’re rejecting poor value. And that’s an important distinction for any brand trying to compete. And crucially, frequent discounting can actually distort this perception – training customers to question your full price rather than trust it.
If brands cannot compete on price, they need to compete on trust, authority and clarity of proposition. That means becoming the brand that feels like the safest, smartest, most satisfying option. Here are three core ways to do that:
Quality cues
From material claims to design details, every touchpoint sends a message. Make sure yours reinforce why it’s worth paying more. Premium is rarely communicated through one big signal – it’s built through hundreds of small, consistent cues.
Visibility at the right moment
Online search remains the number 1 discovery tool. Brands that show up early, clearly and consistently are the ones that make the shortlist.
Consistency across touchpoints
Whether a customer is scrolling online or browsing in store, the messaging and experience should feel joined-up. That’s how trust is built.
Trust is not built through price cuts; it is built through repeated, coherent signals that reinforce the value of choosing you.
The bottom line
In a price-sensitive market, it’s easy to default to discounts. But the brands that win aren’t the ones lowering their prices the furthest. They’re the ones proving their value. So, you don’t need to be the cheapest. You need to be the brand that feels worth it.
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