Title: Perceived Value Definition
Headings: Perceived Value
Perceived Value
What Is Perceived Value?
Key Takeaways
Understanding Perceived Value
Types of Perceived Utility Value
Special Considerations of Perceived Value

Content: Special Considerations of Perceived Value
A company's brand is meant to communicate a set of expectations associated with its products or services. That's why a well-established brand can command a higher price than its generic equivalents. Advil and Motrin both contain ibuprofen, but both brands are priced higher than generic ibuprofen. Luxury goods, however, carry the perception of value to another level with the addition of prestige. The highest value of luxury goods is not associated with their utility but with the prestige that owning and using it entails. The perceived value of a Rolex watch is not based on its functionality but with its image as a mark of personal success and refined taste. At the opposite end of the scale, some brands are marketed as smart bargains. The perceived value of a product may be its low price in comparison with competitors of equal quality.