Too often, however, greed gets confused with positioning thinking. Charging high prices is not the way to get rich. Being the first to (1) establish the high-price position (2) with a valid product story (3) in a category where consumers are receptive to a high-priced brand is the secret of success. Otherwise, your high price just drives prospective customers away.

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"The average person can tolerate being told something which he or she knows nothing about. (Which is why "news" is an effective advertising approach.) But the average person cannot tolerate being told he or she is wrong. Mind-­changing is the road to advertising disaster."

Test marketing has some benefits, but we believe the negatives far outweigh the benefits. Some of the negatives include: WASTED TIME. You can't afford to waste the time that test marketing takes, especially since the essence of branding is getting into the mind first. TIPPING OFF THE COMPETITION. Test marketing will alert competitors and perhaps stimulate one or more of them to introduce similar products. UNPROJECTABLE RESULTS. Test marketing for Enamelon toothpaste projected $50 million in annual sales nationally. Actual sales: $10 million. One of the problems with test marketing is overstimulation of demand. To get enough tangible results to measure, you usually have to run a local marketing program that you can't afford to run nationwide.

If you were forced to drink a beaker of di-hydrogen oxide, your response would probably be negative. If you asked for a glass of water, you might enjoy it. That's right. There's no difference on the palate. The difference, in the brain.

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companies are focused on building products rather than brands. A product is something made in a factory. A brand is something made in the mind. To be successful today, you have to build brands, not products. And you build brands by using positioning strategies, starting with a good name.

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Futurist Faith Popcorn goes even further. By the year 2010, she predicts, 90 percent of all consumer products will be home-delivered. “They’ll put a refrigerator in your garage and bar code your kitchen. Every week they’ll restock your favorites, without your ever having to reorder. They’ll even pick up your dry cleaning, return your videotapes, whatever you need.

If you want to build a successful brand, you have to understand divergence. You have to look for opportunities to create new categories by divergence of existing categories. And then you have to become the first brand in this emerging new category.

You see this in the toy business. Some owners of hot toys want to put their hot toy name on everything. The result is that it becomes an enormous fad that is bound to collapse. When everybody has a Ninja turtle, nobody wants one anymore. The Ninja turtle is a good example of a fad that collapses in a hurry because the owner of the concept got greedy. The owner fans the fad rather than dampening it. On the other hand, the Barbie doll is a trend. When Barbie was invented years ago, the doll was never heavily merchandised into other areas. As a result, the Barbie doll has become a long-term trend in the toy business.

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the professionals who are opposed to advertising say it downgrades their profession. And it does. To advertise effectively today, you have to get off your pedestal and put your ear to the ground. You have to get on the same wavelength as the prospect. In advertising, dignity as well as pride goeth before destruction, and a haughty spirit before a fall.