Instead of competing on price, heritage brand Levi's drove an 8% sales jump by introducing its most expensive jeans ever—a premium Japanese denim line priced over $300. This successful premiumization strategy shows that even mass-market brands can fuel growth by targeting affluent consumers willing to pay more for perceived quality and exclusivity.

Avoid the middle ground. On Running learned that designing for a "hybrid" persona who moves from the gym to a cafe leads to compromises. It's better to create a best-in-class performance product that people choose to wear for style, rather than a watered-down product that serves neither purpose well.

The founder reconciles the high price of her luxury shoes by positioning them as a solution that removes a major distraction for successful women. By eliminating foot pain, the shoes allow these high-impact individuals to focus their energy on more important work, making the product an investment in their overall effectiveness.

Consumers determine a fair price relatively, not absolutely, by comparing a product to others in its category. By launching in a tall, thin 250ml can instead of a standard 330ml can, Red Bull prevented a direct price comparison with cheaper sodas like Coke. This change in the 'mental comparison set' allowed it to establish a new, premium price point.

On strategically positions itself as a premium brand by investing heavily in innovation to justify its price, aiming to give everyone a better experience. This is contrasted with luxury brands that create value through exclusivity and limiting access.

Associating a brand with extreme frontiers like space (Prada/NASA) or the arctic (Canada Goose) creates a powerful halo effect. Consumers perceive products proven in harsh conditions as inherently high-quality and worth a premium price, even for everyday use, effectively justifying a higher price point.

Product inspiration can come from unexpected places. On Running's CPO points to the perfume industry's ability to sell an intangible feeling through packaging and branding as a key lesson in creating an emotional connection with consumers, even for highly functional products like running shoes.

The polo shirt has become a commodity. By selling a new line only through room service at a trendy hotel, Lacoste associates its product with luxury and indulgence. This reframes the item, retraining customers to accept a premium price point.

Consumers determine value by comparing a product to similar items. Red Bull used a tall, thin, smaller can to differentiate itself from standard, cheaper sodas. By changing the "comparison set," they broke the expected price anchor and successfully commanded a much higher price point.