Dude, the reason I appreciate Vass is BECAUSE of the value proposition and the sensible pricing. Your suggestion to raise the prices to artifically foster an image of exclusivity would not serve Vass well in my opinion. Fact is, many if not most in this forum and outside are more discerning than that.
Marc, I understand where you are coming from, however it is not from the same place that the luxury goods customer is coming from. If the apparel industy had customers half as knowlegeable as us, they go out of business.. As I have said before, all the guys on this board who buy Kiton, Lobb, etc, on discount are not Kiton/Lobb customers. They may own many items from these particular brands, however, they are not the people Kiton/Lobb are looking at when determining market strategy. There will always be a sale/discount business, but if these companies rely on that, they have failed in anyones estimation. In this case, I am looking at the customer who spends full retail in the premium shoe market. These customers (for the most part) do not have the knowledge or discerning taste of anyone who has read this board for a month or more. If you tell this customer that a $650 shoe (Vass) is on par in terms of quality as Lattanzi/Kiton, the PERCEIVED vaule of the shoe will be lower. Perceived value is what sells luxury products, not ACTUAL value. In the luxury market, there are some goods that are Giffen Goods.
I have seen this in the case of Loro Piana, Bijan, Brioni, and Cucinelli. There are many others as well. Undercutting in the luxury market has relatively no effect. Those customers will spend whatever it takes to buy something that they feel good about. They are not looking to save a few hundred bucks. In the case of Vass, I feel they are pricing themselves out of the market they should be in. They could demand much more for how much they put into their product. This wouldn't "artifically foster a sense of exclusivity" as you have put it, rather it would place Vass in the league it needs to be. That exclusivity would be well deserved.