When I created a link to the post on my Facebook page, it started a whole new conversation over there.

Take a look at this exchange between Brett Feinstein of Pound & Feinstein, Dennis Collins of New American Marketplace, Dave Young of Branding Blog, and Tom Wanek of Marketing Beyond Advertising.

Their thoughts on low price, corporate competitors, and value is so good, I wanted to make sure I shared it with you.  Do you have any thoughts you’d like to add about when “low price” is the strategy to try?

“All we are hearing from our retailers is “price, price, price.” Yet we know 75 per cent of the consumers buying (our genre) are women. How can we help them see that price isn’t the issue? We’re all leaving precious margin on the table.”

I can sympathize with my friend’s situation having read recent stories about the flaming online price war between Wal-Mart, Amazon, and Target over upcoming releases like Stephen King’s new book.

When it comes to competition, I could wax on about the importance of retailers creating a remarkable customer experience – and that is becoming more and more important – but it would be preaching to the choir.

The most successful retailers have already instituted an excellent in-store experience. They’re probably also the retailers that have the strongest customer base and biggest profits.

Unfortunately, the rest of the retailer gang doesn’t necessarily “get it.”

The biggest error in retailer judgement today is focusing on PRICE.

There’s no doubt that there are consumers who consider price to be the deciding factor. But I believe it’s a smaller percentage than anyone is willing to admit.

The key is getting retailers to make a subtle shift in perspective.

Instead of price, focus on VALUE.

What is VALUE?

VALUE is simply “perceived price” vs. “actual price.”

If a customer looks at what a product has to offer, guesses a price in her head, then finds out it costs less than what she expected, that’s VALUE. And VALUE sells every time.

So, how do we talk about VALUE?

Well, VALUE wears different clothing, depending on the individual consumer.

For one shopper, VALUE might in fact mean “price.” And you know what to do there.

But for another shopper, VALUE means “extras” – what comes with the [product] that might enhance the personal – perhaps even spiritual – experience?

For another shopper, VALUE could mean portability. “I already have a [product] like this – it was my grandmother’s and I treasure it. But I want one to just throw in my bag and not worry about losing it.”

For yet another shopper, VALUE could mean “connection” – how might this [product] be the best one to give as gift? Or how can it strengthen a relationship?

Are you beginning to see why price alone is dangerous territory? There are too many individual needs and internal value systems to assume that people are solely driven by price.

The price-driven customer market is tiny and finite, and focusing on them does nothing to build customer relationships or loyalty.

They may have turned to you for the lowest price, but that also means they’ll turn away from you (and go to your competition) for the same reason.

Retailers get caught in the trap of short-term sales rather than long-term growth.

If you’re a retailer, take just one of your products and see how many different ways you can place a VALUE on the piece.

Or, if you have a product line, why not have a series of items that does indeed include a lower-priced option, but also offers higher-end items that satisfy other values that different shoppers might have?

If you’re a manufacturer or distributor, create a comprehensive marketing strategy and materials for retailers that would outline the VALUE that each of your product offers. It will increase retailer “buy in,” to such a program, AND will automatically differentiate your product, since you are serving the customer’s needs in ways your competition is not.

It won’t be an easy job, but done right with enough steam behind it, a VALUE plan rather than a PRICE plan will mean long-term growth in profit and customer loyalty.