Luxury goods are needlessly expensive. By needlessly, I mean that the price is not related to performance. The price is related to scarcity, brand and storytelling. Luxury goods are organized waste. They say, “I can afford to spend money without regard for intrinsic value.”

Premium goods, on the other hand, are expensive variants of commodity goods. Pay more, get more.

I’m not always a fan of Seth Godin, but he nails it here.

Tags: Design