Price is a story.
The same person who will spend $5K on a trip to Italy will balk at paying $9.99/mo for an iphone app to track their diabetes.
It's not logical because people aren't rational. Price is an indicator of status. And, as such, to the client, the enjoyment of a premium product can be enhanced simply by charging more.
It's important to not conflate price as status with price as utility. Toyota owns Scion, Toyota and Lexus reflecting economy, mid range and premium types of cars. Yet, even the lowest priced model, Scion, still gets people to travel from point a to point b just about as well as a Lexus might.
Price is a feature that adds value to a premium product not as you define it but as the client defines it.