The Power of Advertising on Price Perception: Is Your Product Really Too Expensive?

Mateo Velasquez

1 min read

If you keep hearing that your product or service is too expensive, maybe the issue isn’t your pricing — it's your brand, your content, and your communication strategy.

A toilet paper brand ran an experiment to see how advertising impacted the price consumers were willing to pay. The results were striking.

The experiment: what happens when advertising stops?

During the period when no advertising was done, the relative price dropped significantly. As seen in the graph, the absence of communication directly impacted how much value people saw in the product.

But once the brand resumed consistent advertising, everything changed:

Consumers were willing to pay 10% more for the same product — without any change to the product itself.

What does this tell us?

That advertising doesn't just drive sales — it increases perceived value. The same roll of toilet paper became more valuable in the eyes of consumers simply because it was supported by a strong communication strategy.

Price vs. perceived value

Your product isn’t necessarily expensive. It just may not be well communicated.

Without a clear brand identity and a message that educates and differentiates, people will compare you solely on price — and that’s a losing game.

What can strategic advertising do for your business?
  • Increase perceived quality

  • Build trust and emotional connection

  • Position your brand clearly

  • Justify higher pricing through symbolic value

Conclusion: communicate better to sell better

If you want your customers to pay more, you need a brand and a message that make it worth it.

  • Invest in strategic advertising

  • Clarify your value proposition

  • Build a brand that elevates your product

Because value isn’t what you say you offer — it’s what people perceive when they hear your brand.