Editors Blog


Murphy's Law: Trading Up

May 16, 2008
/ Print / Reprints /
ShareMore
/ Text Size+

You can get a good cup of coffee a lot of places, but how many of you would prefer to go to Starbucks? People don't want just an iPod; they want the iPod Nano. They don't want just a hamburger; they want what Five Guys offers. You may not have heard of them yet, but Five Guys is an 87-store fast food franchise on the East Coast that is changing the way people think about hamburgers. You could get a sandwich thousands of places, but people go to Panera Bread instead.

All of these examples have one thing in common - they are more expensive.

There is a marketing phenomenon called trading up, which is typically thought to include purchases of high-priced goods. In an environment where people are trading up, everything from food to HVAC is affected.

People are willing to pay more for good hamburgers or good HVAC solutions.

Ray Isaac, president of Isaac Heating and Air Conditioning of Rochester, N.Y., and current Air Conditioning Contractors of America (ACCA) national chairman thinks that his company’s growth and huge backlog is due to the fact that homeowners tend to nest during times of economic uncertainty. In other words, they put even more importance on their homes during a slowdown. They aren’t going to move soon, and they want to take care of what they have. They want to make sure they’re getting a good value.

Give real value to those people who want to pay more.
You must login or register in order to post a comment.

Multimedia

Videos

Image Galleries

2014 MCAA Annual Convention

Scenes from the 2014 MCAA Annual Convention in Scottsdale, Ariz.

Podcasts

NEWSmakers: Julian Scadden

Training is an ongoing process. Julian will discuss how you can generate maximum return on time and energy invested training by following a three part process. Listen to this podcast to get expert tips on training, tracking and follow up. 

More Podcasts

ACHRNEWS

NEWS 04-21-14 cover

2014 April 21

Check out the weekly edition of The NEWS today!

Table Of Contents Subscribe

SERVICE CALLS POLL

Which statement on service calls best applies to your business?
View Results Poll Archive

HVACR INDUSTRY STORE

plumbing-hvac.gif
2014 National Plumbing & HVAC Estimator

Every plumbing and HVAC estimator can use the cost estimates in this practical manual!

More Products

Clear Seas Research

 

Clear Seas ResearchWith access to over one million professionals and more than 60 industry-specific publications, Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.

DON'T MISS A THING

Magazine image
 
Register today for complete access to ACHRNews.com. Get full access to the latest features, Extra Edition, and more.

STAY CONNECTED

facebook icontwitter iconyoutube iconLinkedIn i con