Pay for value not for cheap

  • Newo
  • 2024.04.07
  • 190

Many consumers in the purchase of products, often the first focus on price, wrongly believe that the lower the price is the more cost-effective. However, cost-effective actually refers to the ratio between the performance of the product and its price, simply low price does not mean that the cost-effective is necessarily high.

Some consumers may ignore the quality of the product because of the low price, but the quality is one of the key factors in determining the performance of the product. A product with poor quality, even if the price is low, it is difficult to provide a good experience and long-term value.

True value for money is not only in providing the same level of product experience, but also in being able to deliver excellent after-sales service. This means that when choosing a cost-effective product, consumers should not only pay attention to the features, performance and experience of using the product, but also to the quality of service provided by the manufacturer, including, but not limited to, after-sales support, warranty policy and customer care.

The real meaning of cost-effective is the performance of the product (including quality, functionality, experience, etc.) and the ratio between its price to take the car portable inflatable pump as an example:

Functionality:

Most portable air pumps on the market offer a combination of inflation, power bank, and LED light features. Among these, inflation is the most critical function. The key differences lie in airflow capacity and maximum pressure.

Many products claim to reach 120 PSI or 150 PSI, but our tests at the NEWO laboratory reveal that numerous pumps fall short of 100 PSI even when fully charged. This discrepancy arises from inadequate internal structures and insufficient material strength.

Quality:

Quality is paramount for such products. Unfortunately, many low-priced options use substandard materials, compromising both strength and battery life.

Our research indicates that majority of the air pumps priced around 7-10USD have an average lifespan of fewer than 4 cycles (from full charge to complete discharge). In contrast, NEWO’s products meet a minimum requirement of 120 cycles for durability.

User Experience:

User experience is crucial. First impressions matter, and the appearance of a product plays a significant role.

While budget products often use generic molds, resulting in rough finishing, NEWO customizes all molds. Our meticulous adjustments ensure optimal aesthetics.

Noise levels are another critical factor. Cheaper models, relying on off-the-shelf components, fail to suppress noise effectively. Consumers are often startled by the harsh sounds, leading to reluctance in further usage.

NEWO, however, has developed mature noise control solutions. Even within tight constraints, we manage to minimize low-frequency noise. Our pumps maintain a pleasant user experience, regardless of decibel levels.

Pricing Rationality

Costs, both direct (raw materials, labor) and indirect (management, marketing), form the basis for pricing. NEWO maintains a vertically integrated approach from R&D to shipping, ensuring that all product costs are kept within reasonable limits while delivering high-quality air pumps.

Challenges with Low-Priced Products

Inferior Materials and Short Lifespan

Low-priced products often use substandard materials, leading to shorter lifespans and potential long-term use issues. These products not only waste consumers’ money but also contribute to environmental strain.

Lack of After-Sales Service

Inadequate after-sales service is another issue with low-priced products. Without effective support and repairs, consumers can be left dissatisfied and frustrated.

Impact on Brand Image and Industry Health

Low-priced products can tarnish a brand’s image and trust, which are essential for business success. The industry should balance low-price competition with product quality to ensure sustainable development.

Characteristics of High Value-for-Money Products

Performance and Customer Experience

NEWO’s products exemplify high performance through advanced technology, superior design, and reliable quality. Annual investments in R&D and innovation ensure that our products remain at the forefront in terms of performance.

Case Study

In the electric air pump category, the best-selling and enduring products are not the lowest priced. For instance, Woowind on Amazon, priced at $46, has consistently ranked high and maintained a strong product presence for over 1100 days.

In contrast, low-priced, substandard products can lead to overwhelming negative feedback and eventual product withdrawal, causing significant losses。

Conclusion

There are clear differences between value for money and low cost products, and these differences are crucial for both consumers and businesses.

The difference between value for money and low cost products:

Value for money emphasizes getting maximum performance, quality and features at a reasonable price. It focuses not only on price, but also considers the overall value of the product.Low-cost products seek only a lower price, but may have deficiencies in quality, durability and performance.

Corporate responsibility:

Companies should take responsibility when pursuing value for money. They need to balance cost control, product quality and user experience to ensure that products are both high performing and available to consumers at a reasonable price.Brand reputation and long-term benefits are more important than short-term profits.

Consumers choose wisely:

Consumers should choose carefully when making a purchase. Look not only at the price, but also consider the quality, longevity and after-sales service of the product.Cost-effective products may require paying a higher price, but in the long run they will deliver a better experience and value.

Positive impact of cost-effective products:

Cost-effective products have a positive impact on the market and the industry. They drive technological innovation, increase consumer satisfaction, and promote a healthy competitive environment, whereas the introduction of low-priced, substandard products would only lead to a loss of customer confidence and market disruption.

As a company dedicated to prioritizing consumer experiences and product quality, NEWO is consistently focused on creating products with the best cost-performance ratio. We hold companies like Xiaomi in high regard; their emergence has not only invigorated the market but also enabled consumers to enjoy truly cost-effective products. We aspire for NEWO to one day achieve the same level of success as Xiaomi, crafting high-quality products that meet consumer needs and offer great value for money, bringing more innovation and vitality to the market. By continuously refining our products and services, NEWO is committed to becoming a trustworthy brand in the hearts of consumers, allowing every user to experience the tangible value and convenience in life that a high cost-performance ratio provides.



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