Surprised at the Price? Check the Packaging.

by Christina Brown on January 8, 2009

in Frugal Living

Have you ever wondered why some things seem to cost much more than they’re worth?

Sometimes the packaging is a good indicator of why the price is higher.

My husband got a couple of nice St. John’s Bay dress shirts for Christmas from my mom. The price tag says the suggested retail price is $50.00. Now I know that my mom did not pay that for the shirts… after all, she gave birth to the Northern Cheapskate and taught me everything I know about how to find a clothing deal. I’m guessing (based on the sales I’ve seen), she probably spent about $15 a shirt.

If the shirt can sell for $15, why is its suggested retail price $50?

Well, let’s see… it had three cardboard tags that were attatched to the buttons of the shirt with thread. It had four pieces of cardboard in the collar. There were three fancy metal clips holding the shirt in a nice, neat, folded presentation. There were two stickers listing the size of the shirt. The shirt also came with a tiny plastic bag that contained a button.

So, lots of packaging and a neat presentation can affect the price. I’ve seen this with other items, too: the most obvious being pre-made gift baskets. Those have a huge mark-up!

That’s why it’s so important to pay attention to what you’re getting for your money. Are you buying a name, a marketing campaign, or a whole lot of packaging you’re just going to toss later?

In the end, it’s really a $15 shirt. It will hold up for an average amount of time, we’ll lose the extra button long before we need it, and we’ll be happy no one paid full price for it.


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