Its absolutely true. The exact same effect occurs in restaurants and floral arrangements.
There is a fixed cost, we'll call it X, to get the {book/meal/arrangement) made, the marginal cost of {paper/food/flowers) is small relative to the fixed cost and yet is the dominant factor in perceived value.
Understanding this you can use it to your advantage. You can boost the percieved value of a book or meal or floral arrangement by boosting its pages, vegetables, or flowers. The recipient will feel better about getting and the buyer will feel better about paying for something with a higher perceived value.
There is a fixed cost, we'll call it X, to get the {book/meal/arrangement) made, the marginal cost of {paper/food/flowers) is small relative to the fixed cost and yet is the dominant factor in perceived value.
Understanding this you can use it to your advantage. You can boost the percieved value of a book or meal or floral arrangement by boosting its pages, vegetables, or flowers. The recipient will feel better about getting and the buyer will feel better about paying for something with a higher perceived value.