Customers are used to $3.49 price they pay for similar almond bars but with less than half of protein. Nature Valley could have introduced the new protein bar at higher price to attract different customers. But they found it is better to appeal to their regular customers if they can get better price without unsetting their reference price of $3.49.
The result is the creative packaging – maintaining same box dimensions and reducing the number of bars from 6 to 5 – a 16.7% savings in marginal cost that flows directly to profit.
Did you know there were only 5 bars in the Protein bar box? I didn’t until now.
And there is absolutely nothing wrong with better price realization through creative packaging.