Kevin AKA Hubcap

Came across this company that produces mobile web sites. Everything is hosted on their servers and they allow their customers to use their CMS.

How much do you think they're charging for this service???

I'm not going to say but you can click here to find out.

Go take a look.









You too can charge more than you think as long as you position yourself and your service in the right light.

KyleGolemMedia

COME ON. Here I was hoping for some advice. Not just an affiliate/sales link

Kevin AKA Hubcap

Hi Kyle,

It's neither an affiliate or sales link. I have no relationship whatsoever with that company.

I just thought their pricing was "interesting" and was hoping to show others that people can and do charge more.

You're suggestion of giving advice is sound but rather than do it in this thread I'll start another.

Hopefully we'll get a number of warriors to lend their advice and experiences.

WillR

People can charge whatever they like, it doesn't mean anyone is paying it.

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Russel Mogul

You would be surprised, even though these figures are a little out there.
servers aint cheap and my guess is there are trying to pass the cost on to the customer with little value added. Maybe if they threw in a little SEO and google place listing optimization etc .....

Always-A-Warrior

Yes thats true. They would go shopping first before opening thier wallets to those prices. I wouldn't pay those prices either.

FOR SALE: WebDesignInNewYork.com

Dexx

For those saying that these prices are too much, unreasonable, insane, etc.

Would you be willing to pay $2,000 for a lobster dinner (sides not included)

How about $400/night for your dog to stay in a hotel for dogs?

The list goes on:
No B.S. Marketing to the Affluent: The No Holds...


If you haven't yet, this is definitely a book to read about targeting a market that cares more about bragging rights and exclusivity than common sense.

How many mobile websites would the average person need to sell to match up with ONE sale of this company? ($4,000+ setup and $300+/mo)

I'd never go that high myself since I use mobile sites mostly as an "added value" to the packages I provide, but I can see it working.

Just like a diamond encrusted iPhone that sells for $5,000,000...



Diamond-encrusted iPhone worth £5m unveiled - Apple - News - HEXUS.net
Cheers,

~Dexx

Kevin AKA Hubcap

That's true.

As I said I don't have any relationship with this company. I'm not privy to the way they operate but if they have a modicum of business sense I'd suspect they'd lower their prices if noone's buying.

It could also be part of a pricing strategy. Those are published prices but when you call and talk to a "rep" you get the "special" discounted price.

That's well and good but don't confuse what you'd pay with what others will.

I wouldn't pay $200 for a pair of True Religion jeans. Or $1000 for a pair of shoes. Or $2000 for a piece of Gucci luggage.

But you know what. People do pay those prices.

Let me reiterate that I posted this so that other warriors could see that you don't have to set bargain basement prices.

rlhurst

"Pricing... Don't be afraid to charge what you're worth!"

I'm not afraid..... it's just no one could afford me!

Centurian

Dexx is absolutely right, but you must position yourself as the "go to" expert to demand higher prices. It's done everyday.

But guess what? The price you set also determines it's value to the customer. Those that always demand the lowest price are also your highest cost customers. Think about it.

You can also bundle services with added value to justify higher prices, even when those additional services may not cost you that much.

You can also price according to the value produced or only your "costs." Which do you prefer?

Guess who worries more about pricing according to statistics, buyers or salespeople?...

You guessed it...salespeople.

Go. Fight. Win.

Centurian

That being said, there's more to selling than throwing up prices and being a service provider.

You have more intellectual assets and value to bring to the table than just a service provider. If that is all you are, then you only offer a commodity and sales go to the lowest price provider.

Bring more to the table by providing intellectual capital to your target market. You know how to increase their sales and transform their lives through target marketing, smarter technology, and simple solutions.

Have them knocking on your door instead. Then you make the rules.

bonn

Holy moley! --

Coming from someone who owns a Mobile website builder platform and CMS --- those prices are rediculous.

However --- what you dont realize is that their business model is heavy on the business development side. They are not going for millions of average joe site builders .... they sign big contracts with a few clients over time. Going for big customers. Larger customers like that are paying for a lot more than just a CMS, their paying for consulting hours --- and most actually dont ever ever touch the CMS except if they need to change a type or something every 5-6 months...

The company builds the site for them... probably using their own tool. Trust me -- we have about 400 active users on our platform currently and have a low price model, but we really make our money on bigger contracts like these guys go for.

Just my two cents

Centurian

Yeah bonn. Those were my thoughts as well.

If you look at their portfolio, it's all larger clients. As you stated, these are both valid business models.

What is interesting is there are still companies that charge tens of thousands of dollars for websites for institutional and corporate clients that most guys on the forum could deliver for hundreds.

Choose your market. Set your price.

rahmat

In my opinion, it all depend on your market power. Certain market has more purchasing power than other. This could be because of the geographical, or economical factors.

The key is to TEST the market.

Aside...
Middle-man technique: If you know that there are two markets that has different purchasing power, you could use this technique. The technique is to buy stuffs from market with cheap price, then sell it to market with higher price.

rotten72

Bingo! I wonder if they've made any sales?

FREE Training - Build Mobile WordPress Themes

xlfutur1

That pricing is great in theory, but try selling that to a local restaurant owner who is just trying to make ends meet. I'm sure that company can command those prices from some businesses (or universities) and those are the types of clients they are trying to reach. The same businesses that will pay someone 20K for a website that most of us could put together in an afternoon.

Thanks for posting though. I'm going to bookmark that site to show business owners what some companies are charging for a mobile site solution. $397 sounds like a bargain compared to that!

Mary Wilhite

Prices are often arrived at arbitrarily.

Rhino08

Wow..cant believe the price..they must have read Dan Kennedy's book!!

Nail Yener

I guess the key here is to go after those businesses who have larger budgets for their web and marketing campaigns. But closing a deal with them will be much more difficult unless you are a company like the mentioned one.

Great idea I can use that as well.

Kevin AKA Hubcap

I disagree.

The reasons might not be readily apparent but are usually there.

Your statement makes me curious. When you set your prices do you give it any fore thought or do you arbitrarily pick a number?

Fernando Veloso

Mom and Pop can't afford it - ok, I get that. But those are the same ones that prefer to "invest" 400$ on a website cloned from a moron and made by a dorf and expect miracles from the gods of internet.

That said,

On the other side, you have people paying 3K plus for a website, custom made for their needs, fully optimized (ain't using a ****ty SEO plugin) for their keywords, and made to be a winner, month after month (hence the monthly fee of 500$ plus for SEO).

Same thing with Mobile. Same thing with competition cars. Same thing with competition surfboards.

Problem HERE is too many of you "offfline experts" never had a offline company or offline customers. Thats why this subject is all so "omg!!!!".

There ARE (as Dexx wisely said) several markets. Different beats for different folks. And Kevin, thanks for the link. Not everybody in here lives in a cave.

Fernando

ViVaLaTrentBaby

Does anybody think that it's fishy that their prices dramatically reduced?

theemperor

Yeah can't see them making many sales, unless they are pulling the wool over people's eyes.

They are not offering anything unique, just a CMS for $199 a month in an age where Wordpress is free.

Their top features include Google analytics and Twitter Integration (equivalent to a car that boasts a cup holder).

I can't see this being sustainable it is about 1000% overpriced.

That's not to say a local consultant couldn't charge these prices - but the local consultant would be doing a lot more for the money and getting the site promoted too.

amoladora

You can guarantee there will be people who pay that. Whether it is somebody that doesn't know better, or client with alot of money that doesn't want the hassle of trying to find a better price (more dollars than sense ) there will definitely be some clients out there for this company.

If you think about it, if you were to charge this much you would only need 10-15 clients for the whole year to make a decent income - most of us hussle to get that many clients every month.

lsaraa24

I've been trying to decide what a good price would be to sell this too. It's tough unless they understand the value of it though.

IngeniousBastard

I'm sure they're selling to SOMEBODY.

Rick W

You're absolutely right lsaraa24, people will not pay for anything if they can't see the value for it.
I personally have dealt with business owners who wouldnt even take a minute to look at a service being offered to them for a "few hundred" because they were not shown the value for it but yet will spend a ridiculous $100,000 on a 3 day training course covering the exact same service being sold for a "few hundred" (or which is offered for free here on the warrior forum).

As the old saying goes...Cheap things aren't good and good things aren't cheap