For many business owners, linking price and product seems natural. Consumers, however, are often willing to break this link and pay more for a product or service, if given sufficient motivation.
Put it this way: If product and price were tightly linked in consumers' minds, companies such as Starbucks Corp. or Rolls Royce Motor Cars would never sell their products over the cheaper generic equivalents on the market. But Starbucks isn't just about coffee and Rolls Royce isn't only about transportation. Instead, these products are about a brand identity that adds to price, but adds little or nothing to intrinsic value.
The point is that the association between your product and the price you've assigned it most likely is not fixed in your consumers' minds the way it might be in yours. Business owners can and should think creatively when it comes to pricing their products and experiment with various price points that are different from what they initially think they can charge.
The sooner you break free of rigid pricing models, the easier it may be for you to sell more to affluent customers and, ultimately, make more money. Here are three ways to charge more for your products or services.
1. Target more affluent customers. Who is buying the product is an important factor when it comes to pricing a product. Different people often buy the same product or service at different prices because of who they are, rather than what the product is. For example, an ambitious mid-level executive might prefer to drink Starbucks coffee at work rather than a coffee from a less-regarded brand. Some people refuse to shop at stores like Walmart even though it likely carries the same brands they purchase elsewhere for considerably more money.
Another factor is life stage. For example, parents often spend more money on their first baby than on their second or third. Price is automatically separated furthest from product if you are selling to them while the couple is pregnant with or raising their first child compared to later children.
2. Become a leader in your field. Who is selling a product or service can makes a big difference to many customers. A seller's reputation, financial stability and leadership position in its market have been made more valuable as competitive assets than they were several years ago. Customers often prefer trendy, talked-about restaurants over others to the extent that the prices at those restaurants, and the prices at other restaurants, are sometimes made irrelevant. In the financial services sector, recent investment and banking fall-outs have caused a number of customers to seek out trustworthy institutions over those that only claim to be able to make the most money.
As a business owner, your goal should be to make your company the go-to authority in your industry or area.
3. Upgrade your venue. The importance of context when it comes to buying can't be underestimated. The difference in price between a face cream sold at a Walgreens Co. store and one sold in the home by Mary Kay, or at a cosmetic counter at higher-end stores such as Saks or Neiman Marcus, or at an exclusive Parisian boutique can be disproportionate to the difference in the product's ingredients. The price is governed by the expectations of the consumer largely based on where they are buying it, the brand and the expertise of the salesperson -- not the product.
Also consider changing presentation. A chiropractor, for instance, relocated from a small, messy office to a well-appointed professional office, and switched his attire from casual to conservative clothes. These two minor changes allowed him to increase his average fee from $2,000 to $5,000, with no change to the end product.
Disney is a MASTER at this as well.
(yeah, I know, big DUH! statement there). That is where I learned how to disassociate product and price.
I want you to know the secret sauce for "
Pricing 4 Profits in ANY Economy".
So I have combined my 3 BEST Mouster Classes on raising prices, into a ginormous blueprint, that takes you step by step to raising your prices; thereby increasing your profits with no extra work.
But you don't want to do this all willy-nilly. You MUST understand the psychology about pricing as well.
Well you get that Mouster Class Blueprint as well.
Imagine what you could do with a just a paltry 10% increase in prices...
- Take more time off
- Enjoy more frequent entertainment: Movies, dining out, concerts
- Pay off debt
- Pay off debt faster.
- Buy your kid a new lacrosse stick or soccer ball.
Think about it. if you did a 10% price increase, and changed nothing else in your business, you would have 10 more dollars in your pocket for every $100 in sales.
BAM!
Here's the deal.
Until 1/14/22 at midnight, I want to give you this
Pricing 4 Profits Mouster Class Bundle at no charge.
Gratis
Free.
I am revealing how EVERYTHING in your business revolves around price, including:
- The lies marketers tell you about needing more leads and clients. I debunk them all
- How to raise prices without losing one client
- Why profit is the only metric that matters
- 8 ways to price and increase price, no matter what your competitors charge
- The most important aspect of pricing
- Price positioning: Should you be high, low or average? The answer will amaze you
- How price affects profit more than costs
- The 2 mission critical factors to setting your prices. Without these, you are doomed to a low bank account and dwindling customer base.
- How to use the awesome power of scarcity to command high prices
- How "place" defines price.
- Differentiation versus Discrimination: Should heavy people pay more to fly?
- How not to get caught in the Bundling, unbundling, volume and multi person pricing trap
And much, much more!
Just become a
DSNi Inner Circle Cast Member by 1/14/22 (Friday) midnight, and you will receive the bundle!
Purchased separately, (which cannot be done as I do not sell this as a product) would be in excess of $250.
But don't dilly dally, this Mouster Class Bundle goes into the DSNi vault at midnight on 1/14/22.
You can take care of that here:
https://www.deliverservicenow.com/invitation/