Pricing For Big Profits
Discover The Pricing Secrets Even The
Marketing "Gurus" Don't Tell You...
Special Report by Paul Hancox, presented by TalkBiz News
If you're selling any kind of product or service, or are thinking of doing so, one of the most important questions you could ever ask is...
"How do I determine the price of my product or service?"
For some physical retailers, pricing is easy - they just add a profit margin to their costs, and they have the price!
However, what about digital products that have much lower costs or are harder to value? For instance, how do you price a 30 page PDF report, a PHP program, or a 15 video downloadable set?
Of course, you might be wondering...
Why does pricing matter so much anyway?
Let me give you a couple of examples of why pricing is so important:
Set your price too high above what people are prepared to pay, and you may end up stifling sales and choking your business.
Set it too low, and people may view your product as "cheap" and lacking in quality. (Yes, it's possible to have too low a price - see Myth #2 below.)
Set it high and then drop the price significantly, and your current customers may complain that they've overpaid!
So this begs the question...
How do you find the "right" price?
I've been marketing on the Internet for over 10 years now, and I've long been an advocate of "price testing" - but what I've discovered over that time is: testing is only part of the story.
I gradually realized that there was much more to pricing than I initally thought, which is why I decided to put it all together into a special report, called Pricing For Big Profits.
For example, consider the following six commonly held beliefs by many Internet marketers...
Do you believe these six Internet pricing "myths"?
OK, they're not "myths" in the traditional sense, but as I'll show you, they are a lot less true than many marketers think:
Myth #1: Lowering your prices will increase your sales.
It sounds like common sense, doesn't it? After all, who doesn't like savings, bargains and discounts? Yet in my report I'll share with you several examples of where sales went down as the price went down.
I've discovered that there are specific circumstances in which this is likely to happen - so it's important to know what they are, which I'll explain in the report.
Myth #2: You can never have too low of a price.
In my report I'll give you an example of where lowering the price by just $1 actually killed sales altogether! Clearly the lower price was "too low". More importantly, I'll explain what happened, and why people stopped buying just because the price was lowered by $1.
Myth #3: Pricing too far above your competitors will kill sales.
You should definitely keep an eye on your competitor's prices - and just about every online business has competition of some sort - but in the report I'll show you a specific example of where pricing far higher than the competition was used as part of an effective pricing strategy. But be careful... don't do this unless you understand the circumstances in which it can work, which I'll explain in the report.
Myth #4: The best way to determine your price is to ask your potential customers what they'd be prepared to pay.
This might sound surprising, but your potential customers are actually the last people you should ask about pricing! This is a critical piece of understanding that you must know, but very few marketers understand this.
Myth #5: Customers like choice, and they can never have too much of it.
I'll show you how research has shown that, in some cases, giving customers too many choices can actually shrink sales dramatically (i.e. by as much as SEVEN TIMES less!) and increase the risk of refunds on the sales you make.
On the other hand, there are specific circumstances in which adding more choice is likely to increase your sales. Do you know what those circumstances are? If not, you need to read my report.
Myth #6: Prices that end in 7 work best.
Many Internet marketers believe that prices ending in 7 have a kind of "magical" property, and outsell other price points. However, as I'll show you, this is not always true!
If your prices end in 7 just because others have told you they work best, then you could be losing money.
In addition to busting or challenging these six pricing "myths", I'll show you many of the PSYCHOLOGICAL FACTORS that go into pricing and price presentation, some of which have only recently been discovered - such as the "decoy effect", the "compromise choice principle", and the "pricing shortcut" rule that made one Internet marketer a fortune.
In addition to the above...
Here's what you'll discover in this report...
- How RAISING your price can increase sales, and under what circumstances this is likely to happen. (But make sure you know what they are BEFORE you do this! - p49)
- What Dell and magicians have in common, and how you can use their techniques to influence people to want to pay more. (p56, 57)
- Why do retailers still prefer prices ending in 9? In particular, discover the surprising truth about prices ending in 7 and 9 (as well as 99 and 00) that most Internet marketers won't tell you - or simply don't know! (p65-69)
- If you're going to test your prices, how to do so safely and avoid the mistakes that cost Amazon.com and Netflix.com money. (p17)
- A powerful psychological secret that will enable you to set a high perceived value on your product or service, and raise your prices easily. (p40, 41)
- If you're considering selling through ClickBank, here's two simple and time-saving formulas enabling you to quickly calculate (a) the minimum price you need to charge to pay out a fixed dollar commission, and (b) the percentage affiliate commission you should set. (p43-46)
- How adding extra choices can help you sell more, but too many can actually kill sales. Find out exactly how and why here. (p52-58, p60)
- Four pricing models you can follow, to sell products ranging from $7 to $1,997. When you understand the mindset of potential customers at different price points, you can sell high OR low priced products - or both! (p72)
- Discover the 3 M's - the 3 most important factors in deciding your price points...
- ... and much more. So then...
Why do you need this report?
Everyone who sells their own product or service, or is thinking of doing so at some point, needs the valuable knowledge that is contained in this report.
After all, pricing is a critically important issue, and a bad pricing decision can cost you money, and potentially restrict your sales.
Plus, there are many factors you need to consider before deciding on a price point for your product, and in my report I'll explain each one and show you the relative importance of each.
So don't neglect this most important issue - instead...