Buying the brand not the product
In this day and age customers aren't just buying products, they are buying the brand. Companies need to have a strong brand identity in order to be successful. Look at Kylie Jenner's makeup brand, her lip kits are made at the same place and are essentially product as Colour Pop. Her customers are spending money to buy a product that they can get at a cheaper price, just because it has her name on it.
The same thing could be said about Old Navy, Gap and Banana Republic. All three of them are run by Gap Inc. Essentially Gap is a nicer Old Navy, and Banana Republic is a nicer Gap. Banana Republic will get a new shirt in and within two weeks Gap will get the same shirt just in different colors and patterns. Another two weeks later Old Navy will get the same shirt as well at a much lower price. Over the summer I brought a pair of shoes for $8.99, I went into Banana a day later and found shoes just like mine for $109. They looked just like mine with just a few changes but were 100 dollars more. If companies can build a strong brand identity, people will be willing to pay a higher price.
