Rule of thumb for choosing a price for your product?

Hey Mike,

There's really no rule of thumb on pricing. The best way to know is to always TEST TEST TEST! You might sell more copies at a lower price, but turn a smaller profit for example.

With a higher priced product like yours a front end low cost product is a pretty smart way to go as well. Get people buying your stuff and they'll come back again and again!

Best of Luck!

Thanks Mad Dawg for the advice.

I'm still new to this forum, so probably my advice is not considred too credible but since i've been into this business for a long time. The rule of thumb would be to price it around $19. This value works really well for all digital products.

At $197 - you will have really low sales. When was the last time you bought a $197 eBook? and why do we expect others to act differently. Imagine, if u have a great ebook and a good sales copy - additionally u're selling it for $19. Don't u think u'd make lots of sales. The thing is that people would be more eager to experiment with a $19 investment rather than a $197 jump. Everytime u sell 10 copies u'll make $197 - ain't cool?

think about it!

I would ask yourself if your building a list or wanting to make money? What part of your sale funnel does this product fall in? This should help you decide what to price it.

For building a list... price low
For making money... thats up to you

In my opinion if you are going to sell all those video tutorials for only $19.00
Make sure you do not sell Resell rights. Your customers will resell it for peanuts
and lower the value of the product.

I agree with Matt Dawg.
From what i've read in numerous threads,split testing pricing is the way to go.

darktemplar and cpa-blogger,
Did you not read the first post properly?
It's a course with additional materials not a 197$ebook.


Mike,
If i was in your shoes,I would create a 15 page report basically an excerpt of your materials/overview of the course. Either give it away and make sure at end of report you tease
the reader ..make them want more. If they want more they'll have to purchase the course.

Alternatively,you could sell this report for $7. That way you know your current customers are prepared to spend money.Then you know for sure you can upsell your course.
Are you looking to sell the product as a once off purchase? or something like a fixed term membership?
If you have enough materials to offer a lesson and/or video once a week for 6mths-1yr you could do it as a fixed term membership for anywhere between $47-$97+ month.
Even 6mths @$47=$282 per customer as opposed to a once off fee of $197.
6mth*$97=$582 !!

4mths seems to be average staying time for a membership site.
Perhaps you could structure the content delivery to conclude at 4mths.
Charge $67 mth *4=$268 per customer as opposed to $197.On your upselling you can point out it's only $16 week for the customer for the huge value they get each week.

If you do structure it as fix termed membership course, I would recommend giving the short report away(as i suggested earlier)If it really is a hot niche,and the market is desperate enough i'm sure $47-97 month shouldn't be that hard.

Hope thats given you some ideas and help.
cheers and good luck!

Determine what your goal is and then test it.

Lower price products generally will convert higher, but won't necessarily make you the most money.

For example, I have a product that as a higher conversion at $47 and gives me more customers at $47, but my goal with the product is more front end profits. Therefore, I sell it for $97 and it makes me more money on the front end.

If I was interested in getting more customers, then I'd sell it for less.

It all depends on what you are looking to do...

Good luck.