What determines the VALUE of STUFF… How Much is Your Movie is Worth?

What determines the VALUE of STUFF… How Much is Your Movie is Worth?

I believe that the value of stuff is given by the service or use it provides to society. It is about how much does society need that particular product.

The price of a shirt

Ok, so if I need a shirt in order to don’t walk naked in the middle of the street, i will need to pay X money to get that shirt. This quantity I’m paying is making up for the costs of the shirt and for the profit of the manufacturer , distributor, etc.

This help everyone in the making-shirts-business to still keep doing shirt business. As simple as that.

But then if that were the case for everything, every product would have an objectively reasonable price… and this is not the case. This almost never the case.

Then question arises…

What determined the worth r value of a product, what determines its price?

In a digital world controlled by algorithms that constantly change their parameters to fit the price that the potential consumer is ready to pay, we could simply say that it’s the algorithm’s fault that I pay 10X the price that I believe is reasonable for an Amazon product.

Because it is only from Massimo Dutti?

But that would be just too simple to be true. The truth is much more complex and diverse. Not a white or black tone, but a middle grey with a lot of shades.

The 10X priced shirt

So, why do we pay for a product that we believe we should pay X dollars, 10X it’s “reasonable price”?

There are a lot of reasons for this, a lot marketing strategies that are applied along the way, but I will only concentrate on this post in one technique that I find really interesting.

Tell a story before you make sell

That technique is the one of telling a story with the product you want to sell.

It is the same technique that has been used to sell to you the iPhone or Mac where you are currently reading this post, it is the same technique that has been used to create multi-billion dollar empire of Ralph Lauren and it is why so many people buy merchandising.

What’s behind telling a story to sell a product?

What is Apple really doing when you watch a TV commercial of the new iPhone or Apple watch?

What they are doing is only show you the product at the end of the commercial, because they know the importance of communicating ideas effectively so the viewer identifies himself with the values and the belief system that the brand is trying to communicate.

What do we see in an iPhone commercial? People having fun and wonderful experiences (may they be worries experiences or leisure experiences) and technology not getting in the way of that and guaranteeing that wonderful experience through a wonderful design.

Because that it’s what’s important: ideas, feelings because they help us understand the world we live in.

Because let’s not lie to ourselves, we don’t have a clue on how this world works in it’s fullest detail, we don’t know our purpose in this chaotic but yet organised arbitrary world.

Because we want to understand who we are, what is our core essence, what we are made of and more importantly, why we are here.

Because we don’t know who we are, because we don’t know why we are here.

Because they help us simplify reality. Because we get the feeling that we belong.

That is what good brands specialize in. That’s why their prices are so high. That’s why you’ll keep on buying them no matter what.

See you next time!




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