What should I charge?

5 replies
Hey anybody have access to the research on what $$ amounts are best to charge? I am getting ready to launch a continuity program with two upsells and two downsells.

So I heard that it actually makes a difference what you charge. Like which converts better $20.00, $19.98, or $24.95?

I have heard some price actually convert terribly, but I can't remember.

Basically my continuity plan will run around $20. The first upsell is $347 the second upsell is going to be around $150. The first and second downsell are both DVD's versions of the upsell so I can charge anything between $9.99 to $29.99.

So lets hear your theories - and if you have seen the real research...well that might be worth a free product if your information is verifiable.
But I don't care that much, lets just hear what everybody thinks!

Thannks, Donahue
#charge #conversion #price
  • Profile picture of the author spicer
    This may not be the best answer but the only true answer to the question as given is it really depends.

    Here is why:

    It depends on your market and what is typical and standard for your niche.
    $24.95 might be great for one niche and a certain product type but way too high or way too low for another similar product in your niche or another niche.

    I would image you are in a market with at least some completion. If you are not I would question if there were any buyers in the niche and if there are no buyers price would not matter. So let assume you have competition.

    In your niche:
    What is the highest price you have seen for a similar product?

    What is the lowest price you have seen for a similar product?

    How does your product compare to the products feature to feature?

    What Unique selling point do you offer or want to offer?

    Do you want to be the lowest price? Do you want to be the highest quality?
    Provide the best service? What sets you apart from your competition?

    Does your USP (Unique Selling Point) create enough value that customers would pay a premium?

    How much does it cost to fulfill the order?

    I could go on and on...

    Now if you are asking if you should offer a price at 20 or 24.95 or 19.98 based on which number sells better psychologically I do not know and I still would think that you still need to test for your niche and your product. Maybe somebody with actual data could help here, and maybe there are numbers to use or stay away from, but I would still want to test.

    I would research the niche and get the answers to the questions above and then you would have a good idea of a range to start with . Ideally you would then test it out. You could quickly test it with a small PPC or email campaign sending them to different pages with only the pricing changed and everything else the same and see which converted better.

    Good luck with your product launch!!
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    I love marketing and technology...
    I am hear to help anyone that is looking to make money online.
    Please private message me if you are looking for a mentor or just have some questions.

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  • Profile picture of the author FormerWageSlave
    I say research your niche, decide on a few different prices and test, test, test. Your answer will become clear. Your customers should be telling you what works.
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    grrr...

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  • Profile picture of the author morry
    It's a pretty hard question to answer without knowing more about your offer. What I'd do is just test a few different price points for starters. I've found that there's not a huge difference between $27 and $17, so you might want to try those price points first.

    I've never done a huge amount of split testing between using 0s at the end or 7s, but Ted Nicholas swears by 7s. At the end of the day, you've gotta let the market decide what price to keep it at, but you can help them by testing a few likely candidates.

    Sean
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  • Profile picture of the author Salespectus
    Depends on your market and product as others have posted above. The only way to find out is to test.

    Here are some more factors you can take into account to determine the price to charge for your product:

    Check what your competitors are charging.
    Check what they offer for that price.
    Do they have bonus(es)?
    Do they over-deliver with a highly valuable package?
    Then charge your product at a higher, or lower, or exactly the same price.
    Explain why you're charging at this price.

    Test a range of prices eg

    $19.95, $29.95, $39.95, $49.95
    or $19, $29, $39, $49

    Don't price at even numbers.
    Use "psychological pricing" and take advantage of the unconscious discount ie use $19.95 or $19 not $20.


    Regards
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  • Profile picture of the author kimothy777
    Test and measure....
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    Just here to learn and contribute

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