Are you one of thousands of struggling entrepreneurs scared
to overprice your products? Now, you can stop peddling your
wares for pocket change, and learn to raise the price of your
products inconspicuously, (or price a new product higher initially),
to actually INCREASE your income.
The following 7 tips will help get you on your way:
1. Realize that there ARE going to be several people that
will reject your high(er) prices.
Work to convince these prospects that your products ARE reasonably
priced by getting them to look at the cost in terms of long-term
investment -- not initial out of pocket cost.
For instance, if you charge $75 for an online business startup
guide that (thoroughly) covers such things as taxes and accounting,
website design, ezine startup, and product creation, stress
the value of that all-inclusive package. Remind them that,
if they had to get all of the information in your book from
several sources (i.e. a book on ezines, a book on taxes, etc.),
they'd probably be spending several hundred dollars instead
of a measly $75.
Or, remind them that if they had to take the time to figure
out all of the info in your book on their own, it could take
weeks. Or months. If they put a high value on their time (and
I think your ideal customers should), they should then have
no problem spending such a small sum on such a sound investment.
After all, what's $75 worth in comparison to several MONTHS
of their time?
2. Know when to call it quits.
Work to convince those "hard sell" customers that
your product is definitely worth its price, but don't work
TOO hard on them.
Remember, there are several ideal prospects in your new niche
that won't think twice about spending what they'll feel is
"chump change" for a quality product. You can't
please everyone all of the time, and those penny-pinchers
are NOT your ideal prospects. They're the ones that take months
to make a decision, then still end up leaving you out in the
3. Don't get stuck in the middle.
Either your prices are "inexpensive" -- or they
aren't. Don't get caught in between. If you're going to go
high, do it boldly and with confidence, or you'll risk the
"in my opinion, your products are a little pricey"
syndrome. You want to avoid creating that kind of indecision
in your customers. Let them see immediately that your products
require a high initial investment, if that's your goal. But...
4. Be sure you're able to back up the high price of your
products with quality.
There's a pretty good "duh" factor on this one.
If your product is only worth $50, don't try charging $200
for it -- at least not until you find a way to add on to the
product to increase its value, in order to match (or ideally
exceed) its price.
5. Re-evaluate your marketing strategies to attract the
right kinds of customers.
What kinds of customers have you been attracting? Before
you get in a huff asking me how you're supposed to know THAT
... think about it. It's easy enough. First of all, what kinds
of questions are you normally asked by potential customers?
"How come your price is so high?" "What makes
what your offer so superior to XYZ product that you can charge
so much more for yours?" "Can you cut me a deal
so I can give you half of the cost of your product? I just
can't afford it."
Obviously, you're going to want to re-evaluate your marketing
methods and sources to weed out these kinds of "cheapskates."
(NOTE: If you're being asked those kinds of questions a lot,
you may also want to re-evaluate your sales copy. It may not
be conveying the true value of your product, if indeed it
IS unique, and is worth the price you're asking for it.)
Second of all, what's your hits to sales ratio? Although
a lot of factors can influence that ratio, it can definitely
help you find out if you've been attracting the right kinds
of customers so far. A higher ratio could mean that your marketing
efforts are right on target, and fit your ideal customer profile.
A lower ratio could mean that you need to re-assess your marketing
strategies to attract the right kind of buyer.
6. Know the difference between "high priced"
products ... and "ridiculously priced" products.
To gauge this, you can look at your competition, evaluating
both their product and the price they're charging for it.
Obviously, if you're offering a home business startup guide
for $30 with no real perks, and are thinking of raising your
price to exceed ABC company's $99 guide which includes several
perks, it would be a bit foolish to raise your price until
you've added to your offer.
On the other hand, "ridiculously priced" products
can still work for you if you know how to swing it. It's all
about increasing the value of those products. When you're
first experimenting with drastically high prices, it may be
easiest to work your way up to them, raising the price every
time you add value to your product.
You can also ask someone (getting steady sales), who's currently
offering products for similar amounts, what their trade secrets
are for pushing their own outrageously priced wares.
7. Just do it.
No, I don't work for Nike. I'm just a strong advocate of
If you have the attitude that your products are priced too
high and are worrying that your customers feel the same way
-- they probably do. Why? Because you've subconsciously given
them that impression through your sales copy (if YOU wrote
it), and your intimate communications with them. Don't taint
your mind and actions with the deadly stench of insecurity;
your sales will surely suffer for it.
TIP: Before I end this, I'd like to advise you to NEVER
succumb to the lures of people asking to get your products
at a discount, unless they have something concrete and immediate
to offer you (as in a true barter). Giving your product away
for free or at a reduced price almost NEVER pays off, and
can cause you much more trouble than it's worth. Remember,
whatever YOU think can work CAN WORK. It's just a matter of
getting out of that "mind funk" and figuring out
a way to pull it off. And honestly ... is that REALLY so hard?
Source: "What's the 3-step formula that can help increase
or stabilize YOUR website profits in only 60 minutes per WEEK?
If you don't know, let author Harmony Major show you today,
for free. Then learn how to implement the tactics for only PENNIES
per day! Get started now at: http://60MinuteMarketing.com"