premium

Vocabulary Word

Definition

'Premium' refers to an extra amount of money you pay for something special or higher quality. For example, if you're buying insurance, you'd pay a 'premium' to be covered.

Examples in Different Contexts

Many software companies have a basic version and a 'premium' version, where users get additional features for a higher price.

Practice Scenarios

Business

Scenario:

The pace at which these stocks are being bought is impressive. Investors clearly see potential in it.

Response:

It's no surprise, with their impressive innovations. I'd say they're worth the premium.

Marketing

Scenario:

Increase in our brand's value has positioned us in the competitive market. We should leverage this momentum.

Response:

True! Implementing a premium pricing strategy will reflect and revalidate our brand's high quality in the market.