Adding value is creating product worth more than it cost to make. It is creating the willingness in the mind of the customer to pay more for the product than it cost to make.
There are different methods used to add value, some are:
- Design:
This is the branding and look of a product. Customers are willing to pay more for something that is unique and has better or more features so can be sold at a higher price. - Production:
The quality of the product is important, and the more efficient production is, the lower the cost of production and so there is a greater profit. - Marketing:
This is how you tell potential customers about your product and convince them to buy, and pay the asked price.