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> But the market is flooded with eau de parfums -- which are far more diluted than a extrait -- using cheaper ingredients, selling for about the same price.

Has she tried raising prices? To signal that her product is highly quality and thus more expensive than her competition?

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She has, these prices are actually lower than they were before, as most customers don't seem to care about things like concentration. Likely it's just that most aren't that informed about the differences. They'll pay more because it's Chanel or because a European perfumer made it, not because the quality is higher.

The market can’t tell high quality vs not it’s all signaling. Wine has the same problem

Funny, I was about to say the same about wine.

I’m a big coffee fan and the market has no ability toto price that either. Bad coffee can be expensive and good coffee cheap.

looks like they are trying native advertising first

That's actually been new for her, maybe the past two or so months after 10 years in business, and it seems to be working better than any other type of advertising she's done in the past.

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