The $9.99 Problem: Why Cutting Marketing is the Wrong Answer to Margin Pressure

Consumer brands are running into the same invisible barrier. As inflation continues to push up the cost of goods sold (COGs), companies have two obvio

Consumer brands are running into the same invisible barrier. As inflation continues to push up the cost of goods sold (COGs), companies have two obvious ways to protect margins: raise prices or cut spending. However, there’s a catch. Consumers don’t respond to prices in a perfectly rational way. Once a product crosses familiar thresholds like […]