Premium POV

Premium Commodities

What does it take to make a commodity premium? It takes more than differentiation, it takes differentiation that matters to the customer. Marketers deal every day with putting a message out there for consumers to bite down on, but the commodities that can demand a higher price—and even invoke brand loyalty—are the ones that know what their customers really want, and in the customer’s language. It doesn’t matter if you’re selling coffee, sour cream, electricity, or gasoline, if you’re not singing the song your customers want to hear, you’ll be relegated to price as your strongest differentiator. And that’s not premium.

The big question for commodities: do your customers want something more from your brand? If you’re willing to provide it for them, you can likely charge a category-appropriate premium for it, and gain brand loyalty in the process.

*Photo: http://www.investment-losses.com/securities/futures-commodities/

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