What do the words ‘cost’ and ‘value’ really mean? And I’m not talking about market value here. Some of you may be thinking, well they mean the same thing. Some of you may be thinking that cost is what a product costs a company to make, and the value is what a company charges with the cost and profit together, but if you think that cost is what you pay, and value is what you get then you would be bob on the money. This idea that cost is what you pay, and value is what you get is relevant to every single industry throughout the world.
When you look at this relationship between cost and value with a custom-built shepherd’s hut, the manufacturer of that hut sets the cost determined by the expenses (materials, labour, running costs, along with other bits and bobs like insurances, maintenance on machinery and so on, oh and a profit) and the value is perceived by the customer or purchaser of the hut.
Value can be measured monetarily, meaning how much someone is willing to pay for a product or service, i.e. a shepherd’s hut. Value can be subjective in the way one person may perceive the value of a shepherd’s hut higher than that of another.
We saw this firsthand at the prestigious Southport Flower Show back in summer 2022 where we showcased one of our handcrafted shepherd’s huts.
We had lots of visitors to the stand who had many delightful comments along with wonderful and interesting views of how they would use their shepherd’s hut if they were to purchase one. We also had people saying they couldn’t see the value in a shepherd’s hut, not specifically aiming it at us as a company, but at the product. Some said that their ‘first house they bought 60 years ago was cheaper’, which put a smile on my face as they hobbled quickly away from the stand. This is a typical example of how some people’s perception of value is different to the next persons.
A chap I used to work with some years ago used a phrase,” cost is forgotten long after the quality remains!” And what a true statement that is. When you are looking to purchase a shepherd’s hut and you are researching different companies across the country you will find many different shepherd’s hut types, styles, sizes, colours, cladding types, prices, after sales-care, guarantees and warranties. Some companies even offer support packages where they will advise and help with planning, architectural drawings, and marketing. Some may not offer anything after the after-sales care. Again, this comes back to that value bit against the cost, you are getting a lot more than just a shepherd’s hut from some companies.
So, there are many great shepherd’s hut companies out there across the UK offering lots of different types and styles of shepherd’s huts and additional packages, it’s down to you to determine whether you see the value in their product and service for the cost!