The Power Positioning Strategy: Why Your Brand Determines Your Price

The Tray That Changed Everything

I'm going to share with you an exercise that I've conducted with audiences across the world. It's simple. It takes about three minutes. And it will completely change how you think about pricing.

I want you to imagine I'm holding a tea tray. It's made of wood, black and highly polished. On it is a dragon design, beautifully colourful and decorative. Really quite striking.

Now, this tray is for sale in a mid-range department store. You know the sort of place. Not bargain basement, but not luxury either. Somewhere like a John Lewis or a mid-range Debenhams.

Here's my question: What do you think the price ticket says?

Go on. Write down a number. What would you expect to pay for this tray in a mid-range department store?

Got your number? Good. Hold onto it.

The £20 Tray vs The £200 Tray

Now I'm going to change just one thing. The tray is exactly the same. Same wood, same dragon design, same polish. It's still brand new, still in its original packaging.

But this time, it's for sale at a car boot sale. You know those Sunday morning affairs in car parks where people sell all sorts of bits and pieces they no longer want.

What's the price now?

Write down your second number.

I'll bet it's lower, isn't it? Probably quite a bit lower.

Right. One more time. Same tray. Same condition. Brand new, original packaging, that beautiful dragon design.

But now it's for sale at Harrods in London. That temple of luxury retail, where wealthy tourists and well-heeled Londoners browse £300 scarves and £5,000 handbags.

What's the price ticket now?

Write down your third number.

Let me guess what just happened. Your first number was probably somewhere between £15 and £40. Your second number dropped to maybe £5 to £10. And your third number? That jumped up to £80, £150, maybe even £300 or more.

Am I close?

Why Did the Price Change in Your Mind?

Here's the fascinating question: Why?

The tray didn't change. It's the exact same object in all three scenarios. Same materials, same craftsmanship, same utility. If you bought it from the car boot sale for a tenner and took it home, it would function identically to the one in Harrods for £200.

So why did the price change so dramatically in your mind?

Over the years I've done this exercise, I've heard all sorts of answers. People say it's about perception. About experience. About location. About quality control. About the shopping environment.

And they're all touching on something important. But there's one factor that matters more than all the others combined.

The Brand of the Supplier

The major factor that changes the price perception in the eyes and mind of a potential buyer is the brand of the supplier.

Not the product. The supplier.

Think about that for a moment. It's revolutionary when you really understand it.

We don't primarily judge the value of things by what they are. We judge the value of things by where they come from.

A handbag is a handbag until it's got a Hermès label. A watch is a watch until it's a Rolex. A car is transport until it's a Bentley.

The product hasn't changed. But the brand of the supplier has completely transformed how we perceive its value.

And here's the uncomfortable truth: the same principle applies to you.

The Harrods Effect

Let me tell you about Harrods. Not just because it's an iconic British institution, but because it perfectly illustrates this principle.

Harrods doesn't sell different products to other shops. They sell many of the same brands you can find in John Lewis or even Marks & Spencer. Sometimes the exact same item, from the exact same manufacturer.

But the price is often 30-50% higher. Sometimes more.

Why do people pay it?

Because they're not just buying the product. They're buying the Harrods experience. They're buying the reassurance that comes from the Harrods name. They're buying the green and gold carrier bag that announces to everyone on the street where they've been shopping.

They're buying the brand of the supplier.

Now here's my question for you: What's the equivalent of the Harrods bag in your business?

What signals do you send to the marketplace about who you are and what you're worth?

Because whether you realise it or not, you're already positioned somewhere on that spectrum. You're either the car boot sale, the mid-range department store, or Harrods.

And your prices reflect exactly where you've positioned yourself.

What This Means for Your Business

Most professionals never think about this. They focus entirely on what they do and completely ignore how they're perceived in the marketplace.

They've got brilliant skills. They deliver outstanding results. They change people's lives. But they've positioned themselves as the car boot sale when they should be Harrods.

And the tragedy is this: it's not even about the quality of what you deliver. The tray is the same in all three locations, remember?

It's purely about perception. It's about the brand of the supplier.

Let me give you a real example.

A few years ago, I knew two business coaches. Both were excellent at what they did. Both had similar experience, similar qualifications, similar testimonials.

Coach A charged £150 per session. Coach B charged £750 per session.

Was Coach B five times better? Not necessarily. But Coach B had positioned himself differently. He'd written a book. He spoke at conferences. He'd worked with some well-known companies. He dressed impeccably. His website was professional. His office was in a prestigious location.

He'd built the brand of the supplier.

Coach A, meanwhile, worked from home. His website looked like it was built in 2005. He'd never written anything for publication. He had no visible authority signals.

Same service. Wildly different positioning. Completely different pricing.

The Authority Signals You're Missing

Professor Robert Cialdini, in his groundbreaking work on persuasion, identified three critical authority signals that influence how people perceive you:

Title
Trappings
Clothing

Let's look at each one.

Title doesn't just mean "Dr" or "Professor" (though those certainly help). It means how you describe yourself. Are you "a business consultant" or "Managing Director of..." or "Founder and CEO of..."?

Are you "a coach" or "Executive Performance Specialist to FTSE 100 leaders"?

The way you title yourself completely changes how people perceive your value.

Trappings means the visible symbols of your authority. Your office. Your website. Your business cards. The clothes you wear to client meetings. The quality of your presentation materials.

And yes, your book. Nothing says "authority" quite like being an author. The word "authority" literally contains the word "author."

Clothing is self-explanatory but often overlooked. The way you dress sends immediate signals about your positioning. You don't need to wear Savile Row suits, but you need to dress at the level you want to be perceived.

Here's the thing: you might think these signals are superficial. You might think what really matters is the quality of your work.

And you'd be right about the second part. Quality absolutely matters.

But if nobody perceives your quality because you've failed to send the right signals, what good does it do you?

How to Build Your Supplier Brand

Right. So how do you actually do this? How do you shift from being perceived as the car boot sale to being perceived as Harrods?

It starts with an audit. Here are the factors that contribute to your supplier brand:

Trust and reputation
Location (physical or online presence)
Testimonials and social proof
Previous experiences clients have had
Social media presence and engagement
Time in business
Website quality and professionalism
Content you've published
Companies you've worked with
Associations you belong to
Awards you've won
Qualifications you hold

I want you to do something right now. Get a piece of paper and list these factors. Then score yourself out of 10 for each one.

Be honest. Brutally honest.

Where are you strong? Where are you weak?

The gaps you identify are your opportunities. These are the areas where small improvements in perception can lead to massive improvements in the prices you can charge.

The Relational Client vs The Transactional Customer

Years ago, I interviewed Roy H. Williams, known as The Wizard of Ads. In that 40-minute conversation, I learned something that changed my entire approach to business.

Roy explained the crucial difference between the relational client and the transactional customer.

The transactional customer is their own expert. They know exactly what they want. They've done their research. They know the specifications, the features, the details. And they buy purely on price.

Think about someone buying a new car. They've decided on the exact model. They know all the specs. Now they're just shopping around to get the lowest possible price. They contact three dealers and play them off against each other.

For this person, price is the only factor. And the only way you could possibly disappoint them is by telling them after the purchase that they could have bought the same car £100 cheaper somewhere else.

I don't know about you, but I have absolutely no interest in attracting transactional customers.

The relational client is completely different. They expect you to be the expert. They're looking for guidance, for advice, for your expertise. Price is a factor, but it's not the factor.

They're buying a relationship. They're buying your knowledge. They're buying the transformation you can create for them.

And here's the beautiful part: relational clients are perfectly happy to pay premium prices to work with someone they trust and respect.

But here's the catch: they'll only perceive you as worth those premium prices if your supplier brand signals that you're at that level.

Your Brand Positioning Action Plan

Right. Let's make this practical. Here's what you need to do starting today.

Action One: Conduct Your Brand Audit

Use the list I gave you earlier. Score yourself honestly on each factor. Identify your three weakest areas.

Action Two: Fix the Obvious Gaps

Is your website embarrassing? Fix it. Are your business cards from 2010? Replace them. Do you dress like you're worth £50 an hour when you want to charge £500? Upgrade your wardrobe.

Action Three: Build Your Authority Signals

Start writing. Publish articles. Share your expertise. Work towards writing your book (seriously, this is non-negotiable if you want premium positioning).

Action Four: Curate Your Social Proof

Collect testimonials religiously. Showcase the best clients you've worked with. Document your results. Make your success visible.

Action Five: Raise Your Prices

This is the scary one, isn't it? But once you've strengthened your supplier brand, you must test higher prices. Start with new clients. Increase by 20-30%. See what happens.

I guarantee you'll be surprised.

Action Six: Stop Comparing Yourself to the Car Boot Sale

This is crucial. Stop looking at what other people in your industry charge and assuming you need to be competitive with them.

Ask yourself instead: Am I positioning myself as the car boot sale, the mid-range department store, or Harrods?

And then ask: Where do I want to be positioned?

Because here's the truth: the market will pay Harrods prices. You just need to position yourself to receive them.

Master Your Authority Positioning

If you're serious about transforming how the market perceives you and what they're willing to pay, take a look at my book PAID! Reveals: The 10 Secrets for Being Richly Rewarded for the Value You Deliver and the Cascading Impact You Make in Our World - click here for more info

Chapter Two of PAID! is entirely devoted to Positioning, Power and Persuasion. You'll discover the complete framework for building unshakeable authority in your marketplace. You'll learn exactly how to position yourself as the natural, logical and emotional choice for your ideal clients.

The book includes the complete Tray Exercise with detailed implementation steps, plus the three authority signals that Professor Robert Cialdini identified as essential for premium positioning.

You'll also receive powerful bonuses including access to the "PAID! explained!" webinar, The Client Gathering Document, and 355 proven strategies for business growth.

Get your copy of PAID! here and start building the authority positioning that commands premium fees.

Because you're not selling a commodity. You're offering expertise. And expertise, properly positioned, is priceless.