"If we adopted a single price, it would either force us to lower the price of the other rooms significantly"
If you did that though wouldn't people still feel that it was unfair? (The frame of reference would just be lowered).
I'm also curious if there is a difference between stating something as a discount (to offset inferiority) vs. the same thing where the better room is state as a premium.
My gut says better to price as "premium" for something better than to offer a discount. (This seems to be the way hotels usually do pricing as only one example).
If you did that though wouldn't people still feel that it was unfair?
I wasn't really referring to people's sense of fairness - people just decide that a window is valuable enough that they're willing to pay a premium for it (it's around 20%, in our case).
I can see it generating some resentment, but we've never tried it, so I can't say for sure.
I'm also curious if there is a difference between stating something as a discount vs. the same thing where the better room is state as a premium.
Well, we don't label it as neither of those, but I think that calling a window a "premium" might be difficult, especially when almost all the products in the market (rented rooms) have one or more. The interior rooms are really an exception.
If you did that though wouldn't people still feel that it was unfair? (The frame of reference would just be lowered).
I'm also curious if there is a difference between stating something as a discount (to offset inferiority) vs. the same thing where the better room is state as a premium.
My gut says better to price as "premium" for something better than to offer a discount. (This seems to be the way hotels usually do pricing as only one example).