The Value Ladder in PPF Is Completely Broken

An Open Letter To The PPF Industry

I had a realization the other day while reviewing our pricing structure that I can’t shake. Something that’s been bothering me about how our entire industry approaches package pricing, particularly around the “track package”.

The Value Ladder Problem

The problem is that how we’re all pricing our track packages – it’s fundamentally broken. And it’s not just hurting individual shops; it’s dragging down the entire industry’s potential for premium pricing.

Let me explain.

Most shops, including us, follow a familiar pricing structure: (I’m using a Model Y as an example)

• Full Front: $2,000 (front bumper, hood, fenders, mirror caps, headlights)
• Track Package: $2,600 (full front + partial a-pillar, lower doors/rockers)
• Full Body: $6,500

On the surface, this looks logical. But look deeper, and you’ll see the flaw in this value ladder.

You don’t? 

That’s costing us all money and frankly its GLARING AT ALL OF US.

The Gap Theory

There’s an enormous psychological and financial canyon between $2,600 and $6,500. The track package, which should be our premium stepping stone, has instead become a weak middle ground that devalues both itself and full body protection.

I’ve come to believe the track package should be positioned at $4,000.

I’m not here to just yeet out that we just raise prices. It’s about proper value positioning and, more importantly, proper protection coverage – its just a messaging adjustment and package adjustment. 

The Science Behind The Gap

This isn’t just theoretical – it’s backed by fundamental laws of human perception. Weber’s Law in pricing psychology, a principle that’s guided luxury brands for decades, shows us people perceive price differences relative to the base price, not in absolute terms. Research consistently shows consumers need to see at least a 20-25% price difference between tiers to perceive real value differentiation. Our current $600 jump? That’s only a 30% increase – barely above the minimum threshold for perception.

Look at how luxury car manufacturers structure their lineups:

• Mercedes-Benz: C-Class ($44k) → E-Class ($75k) → S-Class ($112k)
• BMW: 3-Series ($48k) → 5-Series ($78k) → 7-Series ($120k)

See the pattern? Each tier represents roughly a 1.5-2x jump. They never make small incremental steps because they understand premium positioning requires meaningful price separation.

The Real Protection Need

A proper track package should include:

• Full front protection plus:
• Partial A-pillars
• 6″ roof line
• complete rockers and/or lower doors
• luggage strip
• complete rear bumper 
• deck lid and/or tailgate

This isn’t just for track enthusiasts anymore either. Daily commuters in high-traffic areas need this level of protection too. We’re doing them a disservice by not offering it.

The Psychology of Price Gaps

When we price the track package at $2,600, we’re accidentally sending a dangerous message: that the additional coverage isn’t particularly valuable. Think about it – a $600 jump for significantly more protection? We’re literally telling clients it’s not worth much.

The Premium Buying Psychology

Harvard Business Review’s extensive research on “Good-Better-Best” pricing strategy reveals something crucial: when middle-tier options are priced too close to base options, they actually cannibalize premium sales. Their studies show that consumers use the middle option as a reference point for value. When that reference point is too low (like our $2,600 track package), it makes the premium option feel overpriced rather than aspirational.

This explains why luxury brands across every industry maintain significant price separation between tiers. Whether it’s watches, handbags, or vehicles, the pattern is consistent: meaningful jumps between tiers that give each level its own clear value proposition.

The Proposed New Value Ladder

Here’s what I believe is a more effective progression:

1. Essential Protection (Full Front) – Starting at $2,000 – Your entry point for quality protection. This establishes your baseline of quality and craftsmanship.
2. Enhanced Protection (Track/Daily Package) – starting at $4,000 This becomes your premium stepping stone. The price point reflects the true value and coverage needs while creating a logical progression toward full body protection.
3. Complete Protection (Full Body) –  Starting at $6,500. Now this premium offering feels like a natural progression rather than an impossible leap.

The Mathematics of Value

The beauty of this structure lies in its natural progression. When you price your track package properly at $4,000, you create a psychological ladder that makes sense to clients. We typically see about 20% of full front clients step up to track protection, and then 20% of those move to full body.

The Science of Stepping Up

There’s fascinating brain science behind why this pricing ladder works. Research in consumer psychology shows that people are more likely to choose premium options when there’s what’s called “proportional price progression.”

Our brains are wired to look for patterns, and we naturally resist jumps that feel disproportionate. When we price track packages at $2,600, we’re creating what psychologists call a “broken pattern” – the jump from there to $6,500 feels jarring and unjustified to our pattern-seeking minds. But when we position that middle tier at $4,000, we’re working with our brain’s natural tendency to accept roughly doubled increases as logical steps up in value.

It’s why you’ll never see a luxury car manufacturer jump from their $50,000 model straight to their $120,000 flagship – they create intentional steps that make the journey to premium feel natural rather than shocking.

Industry Impact

I believe our current pricing structure is actually breaking the full body market for the entire industry. When we collectively undervalue track packages, we make it harder for everyone to sell full body protection. We’re creating our own ceiling.

The Solution

The fix isn’t complicated, but it requires courage. We need to:

1. Price track packages at their true value by:
2. Offer proper coverage that actually protects high-impact areas that will:
3. Create sensible price steps that reflect real value differences

Moving Forward

I don’t say this to only make more money (though that’s a nice benefit). It’s about properly protecting vehicles and creating a pricing structure that makes sense to clients. If we price our track package at $4,000, we’re not just increasing our average ticket – we’re building a sustainable path to premium services.

The track package isn’t just a product – it’s the bridge to premium pricing in our industry. And right now, that bridge is broken.

It’s time we fixed it.

-Gabe