Consumers are more likely to judge a product's quality based on its price when they are less knowledgeable about the product category.

Question

Quizplus · Accepted Answer

When consumers are less familiar with a product category or have limited information about different brands and options available, they tend to rely more on price to assess the quality of the product. This is known as the price-quality heuristic, where consumers use the price as a cue for the quality or value of the product when other information is not available. As consumers become more knowledgeable and experienced with a product category, they are more likely to rely on personal experience, brand reputation, and other product attributes beyond price to evaluate quality.

Consumers Are More Likely to Judge a Product's Quality Based