Hey Everyone!!! The weekend is here yahoo!!. Don’t you take comfort in knowing no more Monday’s is just around the corner?! I can feel it! Right, so lets talk about pricing today. What is the perfect price? It is a question I am asked frequently. Well Daniel Levis, copywriter and internet marketing guru talks about pricing below. Great stuff.
That’s when both you & your customer make maximum profit.
Huh, customers making a profit? That’s right, people buy
when they see more use value in the goods or services that
you’re selling, than the price you’re asking. The MORE, is
their profit.
When a prospective customer is exposed to your advertising
& sales message, one of the things they do is mentally
calculate their profit potential. The greater the delta
between what they perceive as their profit potential, &
the price, the more likely the sale. Of course they are
also ’shopping’ for the highest margin, & the lowest risk
of actually achieving that profit, post sale. You can see
why your sales message is so important.
So far, so good, but how do you know what constitutes the
perfect price? Price too low, and you could be leaving more
money on the table than you’d like with each transaction.
You could even be discouraging some sales with your price,
because people do subconsciously associate price with
quality. Is a Mercedes really worth three times as much
as a Ford?
But price too high, and sales suffer.
WHO ELSE WANTS TO MAKE THEIR PRICE PERFECT?
AMAZING NEW TOOL REVEALS THE PRICE THAT EXPLODES
YOUR SALES & PROFITS!
http://myps-masters.sitesell.com/Tims_marketing_buzz.html
The relationship between price, sales volume, & profit
is a critically important question for any business.
‘The Math is Striking’
To illustrate this point, let’s say you’re selling a
Whoville Map & Attraction Guide (Dr. Seuss turns 100
this year you know) for $10 bucks a crack. Reducing
the price by 10% decreases your profit margin by a
whopping 50%! Therefore, sales must more than double
for the price reduction to pay.
On the other hand, if raising the price by 10% had no
impact on sales, you’re profit margin just went from 20%
to over 27%! Of course pricing theory is more complex
than that, but you get the idea. Download a crash course
that gives a very simple, easy to follow outline of
accepted pricing theory, & some fresh ideas too.
http://myps.sitesell.com/Tims_marketing_buzz.html
Keep your wallet in your pocket though. It’s a gift!
Needless to say, the highness, or the lowness, of your
pricing has a dramatic impact on your sales conversion,
and your profit margin. Split test a wide variety of
different prices for your product, & you’ll see major
swings in conversion. But split testing also reveals
some other very interesting quirks of human nature when
it comes to the perception of price.
Here are a few examples.
‘Pricing Psychology’
Humans buy first on emotion, then on logic. What if I
believed that the Whoville Map & Attraction guide that
you’re selling would make me look smart on a date? Would
I be open to the suggestion that it costs something
meaningfully less than $10, if you offered it to me for
$9.99?
Humor aside, the answer is oddly enough yes. That 1-cent
can have a significant impact according to tests conducted
by The Professional Pricing Society. What about $9.95?
Four times the impact? Nope, just 4 cents (a full 2%)
less margin for you.
Some other findings.
Above $10, .99 is perceived as ‘greedy’. Better to go
with .95 or .75. Above $100? Better to stick with whole
numbers.
‘The Value of Bundling’
Everyone loves to feel like they are getting something
for nothing. Again, the rational mind knows that there is
no such thing. But once we become passionate about
wanting something, we are more than happy to justify
our indulgence by letting ourselves believe it.
The self-talk goes something like this. ‘Hey I know this
is a major purchase, & I really hadn’t budgeted for it,
but I’d have to be nuts not to grab these no cost extras’.
Studies prove that a bundle of goods will often make more
money than where the items are sold separately, even with
lower margins, largely due to this perception.
‘Ancient Pricing Secret’
In 1922, Henry Ford said, ‘Any customer can have a car
painted any color they like, as long as it’s black’. At
the time, he had a strangle hold on the car market.
How did Alfred Sloan (GM) overtake him in less than a
decade, & never look back? By asking customers how they
felt.
‘Price your product, based on the value your market
PERCEIVES, IMMEDIATELY after being exposed to your
sales message’. Read that again.
Just follow the simple steps outlined in this nifty
little software package
http://myps-masters.sitesell.com/Tims_marketing_buzz.html
Learn how to quickly, easily, & scientifically let your
market determine your perfect price.
The tool lays it all out for you in easy to interpret
charts, graphs, & tables.
Before long the relationships between perceived value,
sales volume, & margin, become an open book.
Eureka! Your perfect price.
Funnel the money your competitors are flushing down the
drain with ‘cost plus margin’, and ‘whatever the market
will bear’ pricing into YOUR bank account!
Here’s the link again.
http://myps-masters.sitesell.com/Tims_marketing_buzz.html

“Click here to start reading your FREE (Make Your Price Sell) Masters Course today. If you want to print a copy and review the e-book offline, right-click to download it.”