How much does it cost?

[skullofskill]

I have been playing around with the pricing on some of my services, and the pricing of some of my products. A lot of the times I will look at the price that my competition is selling the same item for, and go with that, or slightly lower.

I'm not a pricing Master due to the fact that I do not want people to lose access to services and products because my competition may be placing a higher perceived value on a service or product. It forces me to have a lower price, which can in return hurt sales because people may wonder about why mine is cheaper, and then be scared away. And it goes both ways. Sometimes competition under values, and when the price I set is higher, customers wonder why I am over priced. :chair:

What are some ways some of you price out your services and products? Do you believe that it's true about how doubling the price of something can double the sales?

If so, how do I set the price that will be doubled?

 

[Ron Killian]

That is almost impossible to answer because it depends on your product or service. One page could be worth $100 depending on what it tells. 100 of pages of junk might not be worth a dollar.

Quality is just as important, build the reputation, get repeat business, get the upsells. Can be worth so much more than the first sale.

Plus, what you get for a price or what you don't get, comes down to the copy selling that product or service. Good copy could sell a $100 all day long. Bad copy might not be able to sell something for a dollar.

And it comes down to the value. What "can" they get out of it if they buy? If it shows them how to legitimately way to make $5,000 a month, it should be worth $100's or more.

You could also get into the aspects of a funnel (something we all should have), you get them in the funnel with a give away, or low priced product and get your chance to build trust, build a relationship, prove yourself, then you "could" get more money for more advanced products of services.

But often I go by what others are selling the same or similar product. Though I do lengthy product descriptions/copy when I can, sell the value and often charge more than the competition. Also, more if it's exclusive.

Just my opinions.

 

[skullofskill]

Hey the Ron, thanks for your response. I like how you emphasize 'Value', because a lot of the titles that I sell, they're great titles that can be worth $1000's to the right people. Easily! I'm not saying they will have easily paid thousands of dollars to me, but ask them later, and a lot of them should say they would have paid if they would have known.

I think the funnel system is a wise idea. I have piles of files that I am able to giveaway. I have been meaning to put some funnels together, for my first time. And, I did set-up my own auto-response system on my server, but just haven't used it to it's full potential.

I think I am going to double a lot of my prices just to see if it's true. True that I can double sales by doubling the price.

 

[Ron Killian]

Well if anything, if that is the case, you are over-delivering

A sales funnel is a must, so much money and opportunities left on the table when there is no funnel. Like I said, I am SO guilty of it myself. Preaching to the choir.

Obviously, only testing will tell you if doubling the price will work. But who knows. Can be surprising what works and what doesn't. Too many marketers seem to think they "know". Only testing knows for sure.