The new service
The new service is a luxury concierge. It entails listening to a customer’s wants and needs, which are then taken care of to the letter in what reflects a tailor-made holidaymaker as the service render acts as a personal assistant assisting in aspects such as shopping. The mentioned service would capture customers who think they must get everything for that which they buy. It would equally attract customers who seek for quality in what they pay. The initiative achieves the goal of setting impeccable standards dealing with luxurious materials, especially in shopping that meets standards of the purchaser in somewhat a vacation. The second step involving market analysis points to individuals favoring high pricing costs, which they perceive as meaning the more valuable an item is in the market. The objective in such pricing is seeking profit maximization, which alludes to setting amounts at levels that would surmount to yielding the highest potential profits (Rajuli et al., 2017). The profiling of the competitors’ landscape entails the large establishments engaging in similar plots. The substitute approach to attacking the issue is consideration of non-monetary factors such as time. Timely delivery ensures steering off competition as it showcases efficiency. The last case is settling on a pricing strategy and execution plan, which, in this case, would be prestige pricing. Al-Shakhsheer et al. (2018) opine that it involves a charge when the service offered is of high quality that resonates to a prestigious image. The mentioned aspect entails a direct relationship between the price of service and demand as raising the former results in an increase in the latter.
The services capture value definition, which captures customers who must acquire everything they want and those who would get the quality for the price they pay. They allude to particular consumer behavior in the fashion industry such as higher pricing which creates a perception of high value leading to multiple purchases.