Williams-Sonoma CEO explains pricing strategy after earnings beat [Video]

After Williams-Sonoma reported a successful quarter on Wednesday, CEO Laura Alber told CNBC’s Jim Cramer how the homeware and furniture company prices items in a tough consumer environment, saying it’s important to be upfront about cost.

“When we price the goods the first time, we want you to say, ‘wow, that’s a great price, and how gorgeous is that product?'” she said. “And that’s the focus we’ve had since the pandemic, is to continue to pull back on this up/down promotional pricing that so many of our competitors run.”

Williams-Sonoma beat earnings and raised its outlook, sending shares to a new all-time high to finish up 27.54% by close. The company runs its namesake brand along with furniture retailers West Elm and Pottery Barn.

Alber critiqued the short-term promotion and discount pricing strategy sometimes used by other retailers, saying this approach isn’t successful in the long term, as customers become “trained to wait for …