Fact - Low ticket products are easier to sell

44 replies
The Internet has changed. Back in the day, the "rule of thumb" was you made high priced, high ticket, complex products.

The logic was simple - It's easier to get 10 people to buy a $197 product than to get 197 people to buy a $10 product.

Whoa, have times changed

Myth - It's just as easy to "Create and Sell" a high ticket item as a low ticket item.

Fact - Low ticket products are easier to sell (you need about 750 words of copy) and take much less time to create.

That`s I have also noticed in the last two years myself. What about your thoughts here??

Thanks so much
-Omar
#easier #fact #low #products #sell #ticket
  • Profile picture of the author JohnMcCabe
    Omar, it sounds like low priced products are easier for you to sell. It depends on who your target market is and what their beliefs are around spending money. This isn't a dig at you personally, just an observation.

    As a homeowner, I keep tabs on the local real estate market. I like to see what homes like mine are selling for, or at least listing for. So I read the local RE magazines, where the various realtors advertise.

    I've noticed over the years that certain realtors/agents tend to segment themselves by price point. Some of them rarely, if ever, advertise a home under $500K. Some rarely, if ever, list a home over $200K. Further, some list only in certain neighborhoods, or only condos, etc.

    They focus on what they, personally, find easiest to sell.

    I believe it's the same way online.

    If your market/products are a better match at lower price points, sell low ticket items. On the other hand, if you enter a market that doesn't look at low ticket items (like luxury homes, watches, other 'prestige' products), don't be afraid to sell what that market wants to buy.
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    • Profile picture of the author cynthiaSEL
      Originally Posted by JohnMcCabe View Post

      easier for you to sell..
      On the plus side? Since that's what works for you, you'll continue to get better at exactly that.
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  • Profile picture of the author Michael Gavre
    As John has already mentioned, I believe a lot of it depends on your audience. If your niche is in a home craft/ hobby, such as knitting, it would be hard to sell a $197 course on how to knit 1, pearl 2, etc... But a $197 course of increasing traffic Conversions and Growing a List might be more easily sold to the Internet Marketing Niche.

    Whatever works for you is the one that you should focus on. Pick one that shows success and stick with it, tweak it to make it as efficient as possible. Once you have found success it is much easier to follow through with more success.

    Success Breeds Success !!
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  • Profile picture of the author unlimitedoptions
    Hi Omarkenawy:

    Your theory is partially correct. It is easier to create a low ticket product (usually) Usually it's a shorter version of a EBook, Video, software, etc. And many people would rather spend a lower amount to get a good product.

    However, if you don't get your offer in front of the right audience then it won't sell.
    Example: You create a EBook and decide to sell it for $4.99
    You buy 100 clicks from a solo ad provider and get 0 sales results. (You targeted the wrong potential customer)

    You create a EBook and a course to go along with it, and decide to sell it for $199.00
    You buy 100 clicks from a solo ad provider and get 10 sales. (You targeted the correct potential customer with the solution to their problem-- right product, right place, right time, right promotion)

    There is something called the 4P's of marketing
    (PRODUCT, PLACE, PROMOTION, & PRICE)

    You will sell many more products when you get all 4 of those P's correct.

    Good luck,

    Dan
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  • Profile picture of the author Steve B
    Maybe a more accurate way to talk about this is to compare what the ROI is for each type of product.

    If it takes you weeks or months to churn out a low priced product, it may not be the best "return on investment" for you.

    "To each his own . . ."

    The important thing, IMO, is to understand and keep track of the trade off between creating a product and the time/effort/resources it takes to complete it and the total return it will eventually provide in dollars to your bottom line.

    Steve
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  • Profile picture of the author ChrisBa
    Originally Posted by Omarkenawy View Post

    The Internet has changed. Back in the day, the "rule of thumb" was you made high priced, high ticket, complex products.

    The logic was simple - It's easier to get 10 people to buy a $197 product than to get 197 people to buy a $10 product.

    Whoa, have times changed

    Myth - It's just as easy to "Create and Sell" a high ticket item as a low ticket item.

    Fact - Low ticket products are easier to sell (you need about 750 words of copy) and take much less time to create.

    That`s I have also noticed in the last two years myself. What about your thoughts here??

    Thanks so much
    -Omar
    I agree that normally low ticket products are easier to sell (hence why they are lower priced), but to me, what will make more money?

    For me to make $10,000 off of a $10 product, i need to sell 1000 copies. If the product is $1000, I only need to sell 10. So often, it can be easier to scale up when the products cost more.

    I guess it all depends on what you are looking for.
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  • Profile picture of the author Aisibor
    The cost of sending traffic or advertising (in terms of time and effort) is going be roughly the same whether you are selling low or high ticket items. So it makes sense to sell higher ticket items.

    It might even cost you more in ad costs to reach more people. For example, you need 1,000 buyers for your $10 product to make $10,000 but you only need 10 buyers if you had a $1000 product.

    If you are collecting leads, you also tend to get higher quality leads in the process.

    Just my 2 cents
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  • Profile picture of the author yukon
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    Originally Posted by Omarkenawy View Post

    The Internet has changed. Back in the day, the "rule of thumb" was you made high priced, high ticket, complex products.

    The logic was simple - It's easier to get 10 people to buy a $197 product than to get 197 people to buy a $10 product.

    Whoa, have times changed


    I have never in my life seen this happen online or offline. Matter of fact I don't think it has or will ever happen because it defies common sense.

    Put 100 random adults in a room and odds are they'll all have $10 that won't break the bank. Doubtful those same random people would all have $197.

    So... odds are the lower priced product would be an easier sale If we're basing things on product price. Assuming both products were worthy of their prices.
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  • Profile picture of the author DABK
    How many Ford cars did you see today? How many Ferrari? How many Bugatti Veyrons?

    How many of those did you say way back, back in the day?

    It was not easier, it might have been more profitable, but not easier.

    Originally Posted by Omarkenawy View Post

    The Internet has changed. Back in the day, the "rule of thumb" was you made high priced, high ticket, complex products.

    The logic was simple - It's easier to get 10 people to buy a $197 product than to get 197 people to buy a $10 product.

    Whoa, have times changed

    Myth - It's just as easy to "Create and Sell" a high ticket item as a low ticket item.

    Fact - Low ticket products are easier to sell (you need about 750 words of copy) and take much less time to create.

    That`s I have also noticed in the last two years myself. What about your thoughts here??

    Thanks so much
    -Omar
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  • Profile picture of the author ronnierokk
    There is some logic there, but the truth of the matter is, if your going to sell low ticket items, make sure that's just your front end product. And make sure it's not your ONLY product.

    Set up your higher ticket items in your funnel as OTOS.

    There is no sense in trying to make a living just selling low ticket products, when you can reap the rewards of bigger paydays at the same time
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    • Profile picture of the author JohnMcCabe
      Originally Posted by ronnierokk View Post

      There is some logic there, but the truth of the matter is, if your going to sell low ticket items, make sure that's just your front end product. And make sure it's not your ONLY product.

      Set up your higher ticket items in your funnel as OTOS.

      There is no sense in trying to make a living just selling low ticket products, when you can reap the rewards of bigger paydays at the same time
      I'd take this one step further.

      Whether you sell a high ticket item or a low ticket item, it shouldn't be your only item. Whether it's your own or someone else's, you should always have something for the second (and more) sale.

      Otherwise you are always in the mode of looking for new prospects. As one of my trainers used to say way back when, the problem with making a sale is that you just lost your best prospect...
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    • Profile picture of the author yukon
      Banned
      Originally Posted by ronnierokk View Post

      There is some logic there, but the truth of the matter is, if your going to sell low ticket items, make sure that's just your front end product. And make sure it's not your ONLY product.

      Set up your higher ticket items in your funnel as OTOS.

      There is no sense in trying to make a living just selling low ticket products, when you can reap the rewards of bigger paydays at the same time



      Not always true.

      Look at themeforest, their best selling theme (Avada) cost $60 and made roughly $17.5 million in sales.

      I would consider that a low end product as far as cost ($60).
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      • Profile picture of the author ronnierokk
        Originally Posted by yukon View Post

        Not always true.

        Look at themeforest, their best selling theme (Avada) cost $60 and made roughly $17.5 million in sales.

        I would consider that a low end product as far as cost ($60).
        Yes, it depends which market your in.

        But I have the Avada Theme on both my sites and there are plugin upsells in there as well. As well as Avada Web designers that offer to design your sites for you which is more up sells!

        But as far as low ticket price wise in my niche...

        My low tickets would be $1-10 on info products.

        Higher ticket range from $27-$1997 and up.

        So, as you can see it really depends on the niche your in.

        But don't think for one second, that Themeforest only sells ONE PRODUCT! They have many upsells up their sleeve! ����

        Ronnie Rokk Smith
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  • Profile picture of the author Frank Donovan
    This is one major difference between selling and marketing.

    If you're dealing in commodities, it's probably easier to sell a lower-priced product. If you're marketing to a targeted prospect with an appropriately targeted message, the price is much less of a factor. It might even be advantageous to have a higher price.
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  • Profile picture of the author kevin2018
    I see a lot of products with price range like around $20 or $40 sells very well too. Over $100 generally is pretty hard to sell, unless it is super duper awesome.
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  • Profile picture of the author aseltz
    The price point where you choose to sell also depends on the type of business you wish to develop.

    If you want to provide immense value to your customers, it helps to have profit margins large enough to re-invest in creating new products and services or hiring staff. But if you don't make much more than you need to live, it's much harder to grow.

    Andrew
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  • Profile picture of the author Rory Singh
    Low ticket is easier to sell?

    For me that would be bull shit with a capital B!

    I always had a harder time trying to sell 'low cost' stuff.

    To me low cost stuff has a lot higher competition.

    Anyway to each his own...
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  • Profile picture of the author Tesslady
    Well, good thing it works great for you.

    As for me, sometimes it does, sometimes it doesn't. What I just do is mix high ticket and low ticket products, and wait for sales to come in... So far, I wasn't disappointed with the sales figures, but I always aim to go nowhere but up! So I prefer high ticket products! lol

    Anyway, good luck! Cheers!
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  • Profile picture of the author Pinkysoll
    Banned
    In my experience, I earn more from high ticket products than lower ticket ones.. I guess we just have different target markets.

    Anyway, at least you're making money!
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  • Although some do find it easier to sell low ticket items, I've noticed the refund rate is higher for lower ticket stuff.

    Besides that i learned from Sean Mize that JUST having a higher ticket offer in your product line alone ~even if hardly anyone buys~ gives ppl an authoritative perception of you.
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    • Profile picture of the author Omarkenawy
      Originally Posted by MarketSecretsBlogger View Post

      Although some do find it easier to sell low ticket items, I've noticed the refund rate is higher for lower ticket stuff.

      Besides that i learned from Sean Mize that JUST having a higher ticket offer in your product line alone ~even if hardly anyone buys~ gives ppl an authoritative perception of you.
      Yes you`re right, I noticed that also. The refund rate is higher with low tickets than with high ones. However the effort on creating, launching and selling low ticket products is less compared to do the same with higher tickets.
      Thanks so much
      -Omar
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      • Profile picture of the author myob
        Early in my marketing years as an affiliate selling Amazon products, I noticed a fascinating phenomenon with buyers. I would lead with a low priced product, but when my customers got onto the Amazon website, many of them would buy high end products (some considerably more expensive) in addition (sometimes in lieu of) the original product being promoted.
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    • Profile picture of the author yukon
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      Originally Posted by MarketSecretsBlogger View Post

      Although some do find it easier to sell low ticket items, I've noticed the refund rate is higher for lower ticket stuff.


      I disagree price matters for refund rates.

      It's the demographic that matters most for refund rates.

      Example, the IM niche is going to have a higher refund rate than the gardening niche.

      You need to gauge the mindset of the buyer.
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      • Originally Posted by yukon View Post

        I disagree price matters for refund rates.

        It's the demographic that matters most for refund rates.

        Example, the IM niche is going to have a higher refund rate than the gardening niche.

        You need to gauge the mindset of the buyer.
        I'm referring to the IM niche ONLY and have personally noticed higher refund rates from lower ticket items..

        It's as if most consumers in the IM niche tend to take higher priced purchases more seriously.
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  • Profile picture of the author risgirly
    I'd say it depends on where you are trying to sell to.

    If trying to sell to people who dont' have a lot of money, then low ticket products are easier.

    But if trying to sell to those with a lot of money, high ticket is easier.

    Just my 2 cents
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  • Profile picture of the author rudi
    Meh. Easier to sell, probably. Easier to make a living from, most certainly not.

    I do affiliate marketing for many products, the cheaper items I certainly sell a lot more of but all in all I make only a nominal amount from compared to the larger items.
    I sell 2 high ticket items and the top earner brings in yearly 24 times what the lower ticket item does with only a fraction of the sales.
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    • Profile picture of the author yukon
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      Originally Posted by rudi View Post

      Meh. Easier to sell, probably. Easier to make a living from, most certainly not.

      I do affiliate marketing for many products, the cheaper items I certainly sell a lot more of but all in all I make only a nominal amount from compared to the larger items.
      I sell 2 high ticket items and the top earner brings in yearly 24 times what the lower ticket item does with only a fraction of the sales.


      Yet you still waste your time selling cheaper items.

      Why?
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      • Profile picture of the author rudi
        Originally Posted by yukon View Post

        Yet you still waste your time selling cheaper items.

        Why?
        Legacy items, still an income stream, I wont kill it until it is dead. As long as it pays for a domain then anything more is still a profit. I don't tend to promote smaller items these days unless they provide genuine value to the users.

        Will also add to this that I use cheaper items as a top end of a funnel but I wont spend my time promoting other low value items unless there is a long game.

        This is not to disparage people from promoting these cheaper items if they think they have a market for them, just for me at this point in time I can personally be better off minute for minute spending that time promoting higher value items.
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        • Profile picture of the author yukon
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          Originally Posted by rudi View Post

          Legacy items, still an income stream, I wont kill it until it is dead. As long as it pays for a domain then anything more is still a profit. I don't tend to promote smaller items these days unless they provide genuine value to the users.

          Will also add to this that I use cheaper items as a top end of a funnel but I wont spend my time promoting other low value items unless there is a long game.

          This is not to disparage people from promoting these cheaper items if they think they have a market for them, just for me at this point in time I can personally be better off minute for minute spending that time promoting higher value items.


          Lol, legacy.

          Cmon man, don't BS me.

          There's plenty of money in low end items, ever heard of Dollar Tree ($8.6 billion in 2015)?
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          • Profile picture of the author discrat
            Originally Posted by yukon View Post

            Lol, legacy.

            Dollar Tree ($8.6 billion in 2015)?
            One of the more amazing chains I have ever seen. You cannot beat it. I go to Dollar General and Family Dollar and then go to Dollar Tree...and there is no comparison.

            Dollar Tree just blows them all away. They just must sell a ton of stuff to be able to have the economy of scales they have. Some of the items they charge a buck for well at Family Dollar are $2.75 or more


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          • Profile picture of the author rudi
            Originally Posted by yukon View Post

            Lol, legacy.

            Cmon man, don't BS me.

            There's plenty of money in low end items, ever heard of Dollar Tree ($8.6 billion in 2015)?
            BS, are you having a laugh. What I mean by legacy is that I promoted items and I not longer actively create new content for that item.

            Yes I am sure there is a lot of money, but with any low end item, amazon affiliate for example you can make a good living but you need to sell so much more to make the same amount of money.

            yes there are areas to do that, just saying i personally find it easier to sell high end items for the same income as i would from low end.
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  • Profile picture of the author Ben Friedman
    This depends completely on what is being sold!

    The size of the target market is just as important as the price of the item, if not more so! Also more important is the amount of competition for market share. It is sometimes better to have a smaller share in a bigger market than a bigger share of a smaller market!

    You have to factor in many more variables than just the cost of the item when deciding whether a product is worth promoting.
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  • Profile picture of the author Brent Stangel
    Your funnel should look like this:


    Notice where it says, "The bulk of your income online comes from the bottom of the funnel where you sell your high-ticket items."
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  • Profile picture of the author agmccall
    I think the statement should be more on the lines of "Low ticket products in the IM/MMO niche have a higher conversion rate"

    al
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  • I never made a dime with Amazon, and I think my total for eBay could be something like $1.xx. So much time and effort, so little %-ages. But I guess different things may work differently for different people.
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  • Profile picture of the author Randy McLean
    Initially, low priced products are easier for me to sell. Once there is some trust and a relationship formed, I move on to higher priced products.

    To be honest though, I have never tried really high ticket stuff - like $1000 +

    Whatever products I am promoting first I make sure there are upsells. Some will take them meaning my average dollar amount per sale jumps up significantly.

    You just have to get them saying YES
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  • Profile picture of the author Courage
    You've hit the nail on the head
    Omar.

    The concept you're talking about
    is known as a "Trip Wire"

    The idea is that you want to
    separate the buyers from the
    people who will never buy.

    Amongst the people on your list
    and the people who see your
    advertising there are some who
    will never buy no matter what.

    And others who are ready to buy
    now or who need a little nudge.

    By selling a cheap upfront
    product you quickly separate
    these people. And can then
    stop wasting money on the
    non buyers.

    The secret to making this
    technique work is upsells.

    This is how you turn a $1
    sale into a $299 sale.

    Starting with a $1 sale
    also converts more would
    be buyers. A person who wants
    to buy might convert a lot
    better at $1 than $299.

    The upsells will convert
    many of these people. And
    you can still sell them the
    $299 product at a later
    stage.

    The second secret is to use
    the power of overwhelming
    curiosity.

    You want to make them really
    curious about what's in your
    $1 product...that curiosity
    being easily fullfilled
    because the product is cheap.

    I wrote copy for a big PUA
    company. One of their trip
    wire products was a deck of
    cards which they gave away
    for "Free" you just had to
    pay $2.99 for shipping and
    handling.

    After that there were 3 upsells
    and if you bought all 3 the
    sale would amount to $699.

    I see a lot of people
    disagreeing on this thread
    and they're right in a way.

    You're not going to sell a
    house or car with this
    method.

    (But maybe you could sell a
    report about buying x car or
    x house in x area.)
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  • Profile picture of the author talfighel
    My thoughts are this:

    I used to think that you can't sell high ticket products...Boy was I wrong.

    It is really easy to get someone to buy the low front end product at $20-$40 and then get them to buy more (UPSELLS) at a price range of $100-$5000+.
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    • Profile picture of the author yukon
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      Originally Posted by misterkailo View Post

      low ticket upfront should always be the "tripwire" leading to upsells



      No, not always.

      There's no rule that says low end products can't be the reason a business exist, again Dollar Tree ($8.6 billion in 2015). For those that don't know, every single item in Dollar Tree stores cost $1 (each).

      There's roughly 245 million adults in the US, the average adult will have a dollar in their pocket, they'll all have a dollar in their pocket every single week for the rest of their lives.

      In contrast there's only 5 million US households valued at over $1 million dollars. Lets assume each household averages 2 adults (10 million adult millionaires), that leaves roughly 235 million lower/middle/upper class buyers looking for lower priced items.

      The key isn't just the price of an item, the key is matching what's in traffics wallet with the item for sale. Every single demographic has buyers.
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  • Profile picture of the author VidasVegas
    If you think that high ticket product to sell is more harder than what is going to happen to you. All success comes from your mindset.
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  • Profile picture of the author VidasVegas
    Fact - Low ticket products are easier to sell - agree but if you want to make good money online NO chance with law ticket products.
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  • Profile picture of the author frank jagger
    If you have high ticket product and a lot of affiliates promote it at the end you will make same amount of money. Less people will buy it but with higher price you will make equally.
    Anyway this is just my opinion. I am only selling low ticket products and doing just fine.
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    • Profile picture of the author Omarkenawy
      Originally Posted by frank jagger View Post

      If you have high ticket product and a lot of affiliates promote it at the end you will make same amount of money. Less people will buy it but with higher price you will make equally.
      Anyway this is just my opinion. I am only selling low ticket products and doing just fine.
      Then, you`re agreeing with my point of view and you already do the same and sell low ticket products as well doing fine. Excellent.
      All my best,
      -Omar
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