7 Reasons Why You Should Double (or Triple) Your Prices Immediately
If you really want to leapfrog your online business from 3-figures income to multiple 7-figures income a year, you would need to be selling premium products and services at premium prices. Premium products and services here means products and services of exceptional quality or greater value than others of its kind. It means superior products and services. Premium prices here means practice of keeping the price of a product or service artificially high in order to encourage favorable perceptions among buyers, based solely on the price.
The truth is, before you can sell premium premium products and services at premium price, you must have started long ago with cheap products and have built popularity, trust and a big network of followers over the years. In short, you must have reasons why people will buy your premium products/services at premium prices.
Here is how you should double (or triple) your prices immediately.
Reason #1: More Profits
Okay no surprise here. When you sell for higher prices you make more profits.
Reason #2: Better Customers
Price qualifies your customers more than you might realize. The ones that pay N1,000 for an ebook are going to be the ones that whine and complain the most! They’ll strain your customer support. But in comparison the customers who spend significant amounts of money are surprisingly easier to deal with and less demanding.
Reason #3: Psychology of Price Works In Your Favor
This is a big one! We’ve always been taught “You get what you pay for”. It’s not uncommon for a prospective customer to discount a product or offering because it’s “too cheap”. What’s more, you also gain instant respect and recognition. Only a “true” expert would charge high prices – so that puts you in that category immediately. (Of course, you better have the goods to back it up.)
Reason #4: Can Deliver More Value
Ultimately the value you provide will dictate the profits you receive from your customers. Increase the value and your revenues go up. By high-profit products with high-margins you have lots more room to deliver sensational value. You can really “WOW” your customers and buyers.
Reason #5: Some Buyers Will NOT Buy Low-Priced Items
It sounds crazy but some customers are only premium buyers. If you gave them a discount it would actually decrease the response. Plus, some customers are only comfortable buying in the high-end range.
Reason #6: Create Big Paydays
All the big numbers you’ve seen highlighted in the marketplace have all come from creating high-priced offerings. You’ve seen some of the numbers…N1Million in one month, N700,000.00 in 24 hours etc. It’s way easier to hit these kind of big paydays by only having to sell to a small handful of customers.
Reason #7: You Will OWN The Marketplace
There are 2 big parts to this. First, you can afford to make big payouts to affiliates to push your product. Plus, you can spend more on your own to acquire a customer. This is huge!
Fact is, the business owner who can spend the most to acquire a customer will WIN.
(Please tape that quote somewhere where you can focus on it!)
Most people are undercharging for what they provide. One of my guides is that I’ll get rich by enriching others between 10 times – 100 times what they’ll pay me in return. That’s a big deal for me. If you pay me N50,000 for a product – I want to make sure it delivers N500,000 in value for my customers. I suggest you consider something similar. If your product isn’t good enough for you to raise your price on it – make it better!
And that’s the first step at the “HOW” to double or triple our prices…start brainstorming the value you provide.
Go and get it started.
Originally posted 2013-02-25 07:00:02.