I'm just starting to re-read Dan Ariely's excellent book Predictably
Irrational, and this statement I think is well worth quoting (p2), bold is
"Humans rarely choose things in absolute terms. We don't have an internal
value meter that tells us how much things are worth. Rather, we focus
on the relative advantage of one thing over another, and estimate value
accordingly. (For instance, we don't know how much a six-cylinder car is
worth, but we can assume it's more expensive than the four-cylinder
As marketers, it's a good idea to KEEP THIS PRINCIPLE IN MIND when
making pricing decisions.
For example, some people are shocked to hear that they can get $50 for a
500 word article.
Why? Because here, in the Warrior world, we are used to seeing "$5 or
$10 an article" specials, etc... so relative to what we're used to seeing
here, $50 sounds like a lot of money to ask for.
However, step out of our "little" Warrior bubble, and there is a world of 6.7
BILLION other people (of whom over 1 BILLION are now on the Internet),
who might want content written for their own reasons. To them, $50 might
actually be incredibly cheap!
Perhaps, then, your marketing strategy could involve thinking a little bit
bigger, and also a little bit more sideways... i.e., why might other people
(outside our Warrior bubble) want content? And how could you reach
A quick example to get your mind whirring...
- Newcomers to the Internet, who want to "set up their own Internet
business" might want an instant 50 post SEO optimized blog set up. Why
not sell this kind of service as an "instant business" to newcomers, for
$1,000 - $1,500 ... that''s at least $20 a post.
(Don't tell me people won't spend that kind of money - remember, over
500 people spent $2K with Frank Kern when he launched Mass Control the
first time in 2008... so why wouldn't someone pay $1K to have a
ready-made business for them? Think about it.)
In other words, don't just "sell articles"... think outside and above the box.
How ELSE does this concept of relative advantage affect us as marketers?