Time vs. Price

I find it interesting how the longer it takes to order/process certain products the more you are willing pay for them. Just think about it, you are more willing to pay a premium for a sandwich at a slow Ma and Pa bakery than you are at Subway even though Subway is maybe using fresher meats/vegetables.

Would Subway be able to have its customers purchase its subs at a higher price if their attendants were to slow their pace down by 25%? Not sure yet... but my uncle in Los Angeles runs a chain of Subways and I am having him run a test at his locations -I will keep you posted. He has also opened a few gas stations in the California area and told me that he purposely slows down the pump by 30% so his customers will find a higher value in his gas even though his prices are similar to the market.

So think about this next time you try to price your product... can you add perceived value by slowing down the order process?