Aiming for a premium market involves strong quality control related to the production of a product and custom premium packaging. Plenty of consumers are willing to spend extra cash on solutions they perceive to bring greater value than generic versions. Here's what brand managers need to know to ensure they are taking the right steps to reach a premium market.
Perceptions of Premium Branding
The word "premium" can be applied in many types of marketing, but it's essential that it's only used when referring to a better than average product or service. A recent study published by marketing insights firm Catalpha showed that 76 percent of consumers place trust in a brand that uses high-quality materials and ingredients.
While most shoppers look for the best deals, those who favor quality over bargains are ready to pay higher prices for products they know or believe offer strong customer satisfaction. Part of a consumer's perception of a brand's quality level comes from experience, but when it comes to new products, packaging plays a vital role. The packaging material, texture and visuals all shape perceptions of quality for the consumer who is purchasing a premium brand for the first time.
While there is no exact or blanket definition for premium products, it's clear that it's not a gray issue. A product either resonates as superior quality with a consumer or it does not. Some of the criteria that transcend different types of premium products include strength, durability, usefulness, emotional value and aesthetic integrity.
Advantages of Customization
The term "customization" also has a loose definition in marketing, as it can be applied to personalized products or serving a specific market sector with unique branding. The art and science of custom premium packaging revolves around addressing specific consumer concerns and expectations. An important factor in customization is creating an emotional bond between the brand and consumer, using visuals that reinforce the values of quality over quantity.
While design creativity is a significant driver for customized packaging, designers should be aware of how important color impacts consumer purchasing behavior. Numerous studies in recent decades reveal that the overwhelming majority of customers view color as a top factor in purchasing decisions. The trick is to understand how color affects perceptions for specific products and their followers.
Why the Unboxing Experience Matters
Whether a consumer is purchasing a product online or in a retail store, the packaging makes a first impression about the quality of the contents. Any valuable or fragile item, for example, should be well-protected with strong packaging material, such as metal tins with lids. If the packaging looks weak or cheap, it can create the impression that the company doesn't care about what happens during the shipping process.
In the 2020s many consumers share a growing interest in watching YouTube videos on how specific products are unboxed. It has become a purchasing factor in the sense that consumers want packaging that makes sense, isn't hard to unbox and doesn't create waste. So, if a package appears to be eco-friendly, it has a greater chance of acceptance by consumers who seek premium brands.
Promoting Sustainability Through Packaging
Sustainability is a top issue among consumers throughout the world in the 21st century. People want to get the most value in return for their hard-earned money. A major concern is whether the material can be recycled or reused after the product is unboxed. The level of security the packaging material provides is also a major concern. Many manufacturers choose metal containers to house premium products, particularly luxury foods.
The packaging itself communicates to the consumer on a subliminal level. Experienced shoppers know how well metal preserves food, especially drinks and canned food. Tinplate cans are 100 percent recyclable and can be used indefinitely, so it automatically stands out as sustainable material.
Influencing Consumers with Premium Packaging
Not only should custom premium packaging reflect the expectations of higher-paying customers, it should also try to be inspiring on an emotional level. Creativity and risk awareness are the powerful keys to successful premium packaging. The more a package exceeds expectations, the greater chance it has of attracting new buyers and influencing consumers to think beyond their own perceptions.
The most effective premium packaging inspires consumers to view the package from the first impression as sustainable for long-term use. Combining eco-friendly and luxury ideals is paramount to premium packaging. Adding customization in a way that communicates sustainability and a feel-good experience helps clarify the authenticity of premium packaging.
