How cultural codes can help brands move past low prices with confidence

Who doesn’t love a bargain?

Some of Australia’s biggest and best retailers define themselves by everyday low prices. But low prices, as Bunnings knows all too well, ‘are just the beginning’.

Value for money doesn’t have to be a war for the bottom line, or about priming consumers to purchase when they get a discount or when items are on sale.

Semiotics is the study of signs and their meaning and a semiotic deep dive into Australian brands reveals many are calling on a range of cultural codes to communicate value.

Some of these tried and tested codes help shoppers overcome their fear of getting it wrong, allowing them to feel emotionally secure in their decision to spend.

Other codes are much more tangible enabling people to believe they’re making a smart spending decision without the Herculean effort of comparing across all competitors, price tags, and product options.

Here is a taste of the most common value codes we found.

Positive affirmation

Why do cheap and cheerful go hand-in-hand?

Whether it’s Russel Coight selling you a hybrid Mitsubishi or smiling Quokkas flogging health insurance, feel-good fun is all about removing category intimidation and reducing the guilt of spending money you should be saving.

It’s hard to feel guilty when a meerkat is giving you a good deal, isn’t it? Or when Casey Donovan is having a party inside your local supermarket.

This code plays into our inherent bias to want to trust people, to feel secure as part of a group and to be in on the fun. So don’t stress, just get a good deal!

Welcome to the group

Luxury brands are grumpy. Value brands are a happy smiling group. At least, that’s what we learned in Ruben Östlund’s 2022 film, Triangle of Sadness.

https://www.youtube.com/watch?v=1GVuGmHzzCU

Value brands love a happy group and invite shoppers to get in on the group hug. Whether it’s the United Colours of Benetton throwing a slumber party, Jetstar welcoming you to their website, or Coles employees reaching out with open arms, shoppers feel acknowledged, appreciated and like the brand is engaging with them on a personal level.

Fashion models smiling together, laughing together, or just acknowledging each other’s existence ensure shoppers are never left to feel alone or intimidated.

This code leaves people with a sense of social acceptance that they belong among the happy people.

By now, you’re probably feeling all the warm and fuzzy, with an urge to buy. But how can you be sure you not only want to spend your money but that you should? Let’s get rational.

Social proof

Retail is a popularity contest. Believing an item is popular inherently gives it more value.

When brands can demonstrate others determine a product worthy of the price tag, it’s a tangible moment of external validation. You’re making a smart purchase because others thought so. There’s a sense of safety in numbers, signposting social cache with a list of ‘the most popular gifts for men’, or the ‘it-girl essentials’. ‘Best sellers’ list? Say no more.

Then there’s the professional panel of experts who have scoured the market and anointed this car Wheels Magazine’s car of the year, or Canstar’s gold stars. And you can rest easy because Shaan in Kellyville spent the $227 and bought the exact same ottoman you’re looking at, only 15 minutes ago.

Knowing other people see value validates our urge to splurge and makes us feel smarter for wanting to buy in the first place.

What you see is what you get

Stripping out complexity with a warehouse-like experience reassures shoppers they are getting the best deal. The product is straight off the factory floor without the overheads or middlemen. Fluorescent lighting, tall shelving, long wide aisles, open spaces, polished concrete floors, simple signage and self-service checkouts tell customers we are doing everything we can to keep costs down.

Trust our stripped-back setup! This is where the best bargain lives, you just need to find it.

It’s a powerful mix of symbolism that makes the consumer feel smarter. Prioritising a sense of functionality over beauty for beauty’s sake reduces intimidation while also creating an ‘everyman approachability’ to the brand. A perfect mix of personality, experience and brand that enables everyday low prices to shine.

Bunnings, Aldi and JB HiFi do it best. They start with a stripped-back warehouse-like experience that screams, “NEVER DOUBT OUR PRICES!” Their catalogues and digital channels weave in social proof with five-star reviews.

From this base, these brands add human warmth and personality that makes a good deal fun. Bunnings has community feel-good snags and delightfully dorky staff-led advertising. Aldi boasts the witty and genuinely hilarious Good Different campaigns. And JB HiFi is immediately recognisable for its handwritten price tags and passionate staff with a genuine love of that new product you’ve never heard about.

If you recognise the value of talking to value as cost-of-living pressures continue, lighten up and leave the seriousness to the luxury brands. Use a palette of smiling faces, shiny gold stars and polished concrete to tap into the rational and emotional codes that help brands go beyond low prices.

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