Many customers will pay for a better experience. Look at premium brands like Apple or Tesla. You could get a working mobile phone for under $50, but across the globe, millions of consumers are ready and willing to pay over $600 for the latest iPhone. The same can be said for Tesla cars.
Moreover, Apple offers seamless CX compared to other phone brands, both online and in-store. Who doesn’t enjoy hanging out in an Apple store? It’s fun. You can play, and the representatives are helpful when you need them but leave you alone when you don’t. So then, customers will pay more for better CX.