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The Willingness-to-Pay Expansion

Most customers don't have fixed willingness-to-pay—actively expand it through context and value demonstration.

Explanation

Behavioral economics shows customers don't have predetermined price limits. Instead, willingness-to-pay develops during the decision process based on anchors, comparisons, and value understanding. Rather than discovering existing price sensitivity, you can actively shape it through information sequencing, social proof, and outcome visualization.

Real-World Example

Luxury real estate agents first show properties above budget to expand context, then show target property which feels reasonable. B2B software demos start with ROI calculations showing massive potential value before revealing price. Wedding vendors present premium options first to reset expectations.

How to Apply

Map your customer's decision journey and identify moments to expand willingness-to-pay. Present high-value outcomes and comparisons before price. Use calculators showing ROI or value created. Share customer stories of success at your price point. Sequence information to build value perception first, then introduce pricing.

Related Topics

expansionvaluejourney

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