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If You Don't Sell A Product Over $97 Time To Raise Your Self Esteem

by Daniel E Taylor
149 replies
This thread may ruffle a few feathers. But I speak not just
from judging others but from my OWN personal experience,
and journey with IM.

This isn't a 100% of the time thing, there are exceptions
to this, but honestly very few.

If you have dreams of being the next frank kern, or doing
over 100k per year and you are struggling to get there
it's probably because you don't put value on your knowledge
and products.

And that comes from having low self esteem and low self worth
which 99% of the population suffer from. So it's nothing embarrassing.

At some point you have to realize that selling $37 products only
is going to take massive amounts of sales day end and day out
to reach 6 figures and beyond.

That's why I think it's important you have at least a $97 product
and a $197 product.

I mean why wouldn't you. It just makes sense mathematically.

3 sales at $100 = $300
2 sales at $200 = $400

So with 5 sales per day you could already be making $700.

It would take 20 sales at $30 just to make $600.

Most of the time we allow our mind to lie to us so we don't
face reality.

Your mind will say stupid things like "People can't afford it at that price",
"It's going to be harder to sell", etc...

Coming from someone who sells those products I will say this.

It's really no harder to sell a $200 product than a $30 product.

The difference is you will get more sales at $30, maybe even double,
but the few sales you get at $200 add up really fast.

If you look deep inside your self it's just your self esteem. You don't
believe you are worth that much money. It's because that's how
we are programmed to think in this society we live in.

I will say this. If you have a product that actually gets results and
SOLVES someone PROBLEM they will pay anything.

And trust me they have the money. People find a way to afford
something they want.

It really changed my life when I went back to the ghetto and
finally realized something.

Everyone has freakin Iphones and Blackberrys.

People spend $400 on freakin phones. Something that will give them
0 ROI. And they FIND a way to afford it.

So if you have a PRODUCT that actually gives tangible results
it's well worth $200.

Then you need to get into selling $1000+ items to really
boosts your income.

Notice all the guru millionaires you want to be like all have
high ticket items. There is a reason for that. DUH!

It all comes down to your self esteem. Raise that and
your life will change dramatically.

Daniel
#$97 #esteem #product #raise #sell #time
  • Profile picture of the author MichaelHiles
    Silly me.

    Here I thought product pricing came down to whatever someone's particular market is and what it will bear.

    The reason Frank Kern sells a $2000 product is because his market will bear it, and has proven so.

    The value that he provides for $2000 exceeds the price he's charging.

    It's not just as simple as "Hey you low self-esteem idiot... raise your price."
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    • Profile picture of the author Daniel E Taylor
      Originally Posted by MichaelHiles View Post

      Silly me.

      Here I thought product pricing came down to whatever someone's particular market is and what it will bear.

      The reason Frank Kern sells a $2000 product is because his market will bear it, and has proven so.

      The value that he provides for $2000 exceeds the price he's charging.

      It's not just as simple as "Hey you low self-esteem idiot... raise your price."
      Who called anyone an idiot? And I said there are
      exceptions.

      But most markets will allow a $97 product. If not then it's probably
      not that good of a market in the first place in my opinion.
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      • Profile picture of the author MichaelHiles
        Originally Posted by Daniel E Taylor View Post

        Who called anyone an idiot? And I said there are
        exceptions.

        But most markets will allow a $97 product. If not then it's probably
        not that good of a market in the first place in my opinion.

        I was being dramatic for effect. It worked.

        I don't know that most markets allow a $97 product or not.

        That's why we test. Arbitrarily establishing a price based on one's on needs (I don't want to have to work as hard to sell more of the same item to make the same money) is an instant formula for success. In fact, it could be a disaster and destroy someone's business.

        The key is to test test test test test test.... and then when you're done test test test test test some more.
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        • Profile picture of the author Daniel E Taylor
          Originally Posted by MichaelHiles View Post

          I was being dramatic for effect. It worked.

          I don't know that most markets allow a $97 product or not.

          That's why we test. Arbitrarily establishing a price based on one's on needs (I don't want to have to work as hard to sell more of the same item to make the same money) is an instant formula for success. In fact, it could be a disaster and destroy someone's business.

          The key is to test test test test test test.... and then when you're done test test test test test some more.
          Well in order to test you need to sell a $97 product
          in the first place don't you?

          Many marketers are scared to test a $97 product because
          they don't feel they are worth it.

          Destroying someone's business? Explain to me how creating a $97
          can destroy someone's business? Either people buy it or they don't.

          It sounds more like you agree, but really trying hard to disagree.

          Daniel
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          • Profile picture of the author MichaelHiles
            Originally Posted by Daniel E Taylor View Post

            Well in order to test you need to sell a $97 product
            in the first place don't you?

            Many marketers are scared to test a $97 product because
            they don't feel they are worth it.

            Destroying someone's business? Explain to me how creating a $97
            can destroy someone's business? Either people buy it or they don't.

            It sounds more like you agree, but really trying hard to disagree.

            Daniel
            Agreeing or disagreeing is based on the test, not some flippant decision to just arbitrarily price a product at some level because of the factors you listed in your original post.

            You've made the broad assumption that because someone sells a $27 product, it's because of factors based on "self esteem" or whatever. Making marketing decisions based on emotion is a sure-fire way to ruin one's business.

            Maybe they tested the product and that's what the market will bear. It's not an emotional issue. It's SHOULD BE an issue rooted in marketing best practices - test test test test test. Then, make decisions based on the numbers.
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            • Profile picture of the author Daniel E Taylor
              Originally Posted by MichaelHiles View Post

              Agreeing or disagreeing is based on the test, not some flippant decision to just arbitrarily price a product at some level because of the factors you listed in your original post.

              You've made the broad assumption that because someone sells a $27 product, it's because of factors based on "self esteem" or whatever. Making marketing decisions based on emotion is a sure-fire way to ruin one's business.

              Maybe they tested the product and that's what the market will bear. It's not an emotional issue. It's SHOULD BE an issue rooted in marketing best practices - test test test test test. Then, make decisions based on the numbers.
              Your taking the post out of context.

              I sell $27 products. Maybe you should re-read the post to
              get a better understanding of what I'm saying.

              Sounds like you read the title are jumped the gun.

              Because if you understood my post you wouldn't say these things
              because you see they really have no relevance.

              You say TEST a $97 product first. In order to test a $97 product
              you need the self esteem. That's what this post is about.

              But it seems more like your bent on trying to arguing then
              actually getting an understanding.

              Which is fine. It's a discussion forum.

              Daniel
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  • Profile picture of the author michael_nguyen
    I like your post! My problem is improving my sales copy to justify charging that amount. Saying that I do believe that I have the ability and product to teach the real fundamentals of niche marketing but when your market is the wso section, you're kinda pushing it.
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    • Profile picture of the author Ron Douglas
      Originally Posted by michael_nguyen View Post

      I like your post! My problem is improving my sales copy to justify charging that amount. Saying that I do believe that I have the ability and product to teach the real fundamentals of niche marketing but when your market is the wso section, you're kinda pushing it.
      Improve your offer, not your sales copy. If your offer doesn't have that kind of value, improving your sales copy would just be deceiving people. Sell something worth that amount to a market willing to pay for it.
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    • Profile picture of the author catherine ford
      Originally Posted by michael_nguyen View Post

      I like your post! My problem is improving my sales copy to justify charging that amount. Saying that I do believe that I have the ability and product to teach the real fundamentals of niche marketing but when your market is the wso section, you're kinda pushing it.

      Why is your market restricted to the WSO's
      Catherine
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  • Profile picture of the author radhika
    Dnaiel, I is not a matter of selfesteem. All products that sell at $37.00 are crap and those merchants are low selesteemed people - it doesn't like that ...

    As a vendor you need to be flexible on price tags and look around the market how other sellers are doing.

    If on a christmas season, if you sell same price, people look for an alternative.

    If the $200.00 phone is only $180.00 at Walmart, won't you go there and buy it? Low prices are a strategy that vendors play.

    Why Allen didn't increase the price of WSO section from $20.00 to $40 or $50? It is matter of making available to all sections.

    I am not saying sell cheap. But all cheap things are not from low selfesteemed sellers.

    Big GUrus are full of hype. I bought products that worth $600.00 too. They are noway better than $20.00 ebook I bought. WHAT THEY DO is setting up a fully hyped up sales pages.

    Just my thoughts ...

    .
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  • Profile picture of the author Imran Naseem
    Banned
    I disagree.

    It is not about self esteem.

    It is about branding yourself and responding to the market.

    We are in a deep recession right now - people are sick and tired of spending money on high priced information products etc therefore, sometimes it is best to give them value for money and build a relationship with your customer.

    High priced products also come with a risk - the refund rate is high and there are tons of high priced products in this day and age. The market is saturated, there are too many "junk" high priced products that are being "shoved" down the throats of newbies.

    Just my 2 cents.
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    • Profile picture of the author Daniel E Taylor
      Originally Posted by Imran Naseem View Post

      I disagree.

      It is not about self esteem.

      It is about branding yourself and responding to the market.

      We are in a deep recession right now - people are sick and tired of spending money on high priced information products etc therefore, sometimes it is best to give them value for money and build a relationship with your customer.

      High priced products also come with a risk - the refund rate is high and there are tons of high priced products in this day and age. The market is saturated, there are too many "junk" high priced products that are being "shoved" down the throats of newbies.

      Just my 2 cents.
      This post is false 100%. What are you talking about.

      Tests have shown that lower ticket items have a higher refund rate.

      Your whole post is just opinions you made up in your head.

      Daniel
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      • Profile picture of the author Imran Naseem
        Banned
        Originally Posted by Daniel E Taylor View Post

        This post is false 100%. What are you talking about.

        Tests have shown that lower ticket items have a higher refund rate.

        Your whole post is just opinions you made up in your head.

        Daniel
        Daniel

        Have you ever launched a high priced product?

        Have you actually tested the market in selling a high end product?

        I disagree with you there.

        I sold 300 units of a low priced product recently with a 1% refund rate. Care to explain how that was possible?

        Please Daniel get your facts and your sources right before you jump to conclusions.
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        • Profile picture of the author Daniel E Taylor
          Originally Posted by Imran Naseem View Post

          Daniel

          Have you ever launched a high priced product?

          Have you actually tested the market in selling a high end product?

          I disagree with you there.

          I sold 300 units of a low priced product recently with a 1% refund rate. Care to explain how that was possible?

          Please Daniel get your facts and your sources right before you jump to conclusions.
          Of course. I wouldn't be making this post if I haven't.

          I've sold OUT of $2000 packages. And I sell multiple $197 courses
          $97 courses, and $27 ebooks. And I'm not in the "Internet Marketing Niche" either.



          Daniel
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          • Profile picture of the author Imran Naseem
            Banned
            Originally Posted by Daniel E Taylor View Post

            Of course. I wouldn't be making this post if I haven't.

            I've sold OUT of $2000 packages. And I sell multiple $197 courses
            $97 courses, and $27 ebooks. And I'm not in the "Internet Marketing Niche" either.



            Daniel
            Daniel a high priced product in other niches might be a good idea, but in the Internet Marketing niche it carries an element of risk. Not that I would ever rule out a $197 product but at this stage the market is simply not responding to high priced products.

            I was with a meeting the other day with Mo Latif (guy who launched Google Snatch) and he pointed out that "most marketers" launches for high priced products are "failing" so it made me think.
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            • Profile picture of the author SuzanneR
              I think this is an interesting argument--and a challenge worth putting to the test. It may prove wrong for some niches...but it's worth testing, imo.

              Who wouldn't rather sell a $100+ product?

              What it means for many of us though iis changing the current product in some way to make it more valuable. That means change: coming up with new concepts and executing them. Perhaps that's where some feel resistant?
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              • Profile picture of the author ExRat
                Hi,

                I agree - this is a very interesting discussion. And the way that Daniel makes his points always makes the conversation more dynamic.
                I'm going to sit this one out, I think -



                But -

                People spend $400 on freakin phones. Something that will give them 0 ROI. And they FIND a way to afford it.
                Free phone for a contract - hide the real cost - continuity.

                Edit - damn. Getting involved.

                Hi Phoenix44,

                In order to charge this much money you need a product that solves a problem that is hard for people to solve.
                I think it's actually more lucrative to focus on selling stuff that increases their feeling of self-worth - particularly in public, or within 'their group.' It would seem that that's more desirable to most people than solving their problems.
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  • Profile picture of the author Mukul Verma
    Does this apply to WSO? Can I sell for $97

    All jokes aside, I think your market has a big play on it.

    I got sites that I can charge 3 times the price since my competitors dont use IM and I got markets where I charge $97 and get high refunds and competitors products are a lot cheaper and market in the same/similar manner.

    I agree that 5 at $100 is $500, compared to having to sell 5 times more, I use this strategy.

    Nothing to do with self a esteem....has to do with business, competition and what the market will bare.
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    • Profile picture of the author Jeremy Kelsall
      I agree with Daniel.

      If someone will pay $7 then will pay $27

      If they will pay $27 they will pay $47 or $97

      I see tons of people selling products for $5 and $7 and when I see those price tags, I immediately think rehashed, not useful, and junk which I know isn't always the case...It's just my perception.

      You would have to sell $7 and $27 for your whole life just to maintain a "regular" lifestyle. You have to find a way to take it up a notch to actually get anywhere.

      Anyone that thinks that people in the Internet Marketing or any other niche isn't willing to spend $50 or $100 bucks on something that will help them, needs to take a look around.
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      • Profile picture of the author Alminc
        I think that an ebook can sell for $17.

        Ebook with resell rights for $27

        Ebook with PLR $37

        Ebook + report + videos $47

        Ebook + report + videos with resell right $67

        Ebook + report + videos with PLR $97

        Complete home study course $127 - $197 depending on what's in it.
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        • Profile picture of the author TimCastleman
          Originally Posted by Alminc View Post

          I think that an ebook can sell for $17.

          Ebook with resell rights for $27

          Ebook with PLR $37

          Ebook + report + videos $47

          Ebook + report + videos with resell right $67

          Ebook + report + videos with PLR $97

          Complete home study course $127 - $197 depending on what's in it.
          If you think that then you are correct. Me ... I'd add a zero to most of those figures.
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        • Profile picture of the author Jay Jennings
          Originally Posted by Alminc View Post

          I think that an ebook can sell for $17.
          Kind of depends -- what if it's worth $2,995?

          An ebook worth THREE THOUSAND dollars?

          Click to read: How to Sell an Ebook for $2,995

          If your product is worth $37, then that's what you should charge. But just because something is an ebook doesn't mean it should be low-priced.

          Jay Jennings
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          • Profile picture of the author Networking_now
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            • Profile picture of the author Networking_now
              My Opinion ??

              Why are so many people having digs at the original poster for this idea?

              This is a great suggestion that Daniel E Taylor has made. Especially those of you who want to take you business up to a higher level!

              he has suggested somthing awesome, and and if applied can really help you push your profit bar higher.

              besides he's just giving this idea as a suggestion, and its not like he's forcing you to do this action, but just giving one alternative method to try.

              (also it isnt too much about raising self esteem though)

              - but all around, awsome original post....
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          • Profile picture of the author Vagabond 007
            Full disclosure, I stopped reading after page 1....

            But, overall I think a lot (NOT ALL) of people here fall into 2 categories...

            1. Took the OP's post out of context.
            2. Don't really know how to sell when it really comes down to it.

            While I don't think that EVERYTHING comes down to self esteem, it is VERY VERY important. I'd say at least 95% of selling has to do with your self esteem.

            I think the main thing is people who only sell cheaper products do it because they don't have the balls to charge more...or as the OP put it, low self esteem. Why, because they don't believe in the product enough. They start having conversations in their head.

            "At a higher price point people will expect more."
            "My stuff isn't worth $200"
            "People won't pay that money"
            "The economy is bad. Nobody will spend that kind of money".

            The conversation goes on and on.

            I think some IMer's need to get out from behind their computer and get a job selling face to face. Yeah, I know, scary to actually talk to people huh? :rolleyes:

            You can learn a lot from selling face to face. But, it takes bigger balls. You don't have a computer screen and pen name to hide behind.
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      • Profile picture of the author CDarklock
        Originally Posted by Jeremy Kelsall View Post

        Anyone that thinks that people in the Internet Marketing or any other niche isn't willing to spend $50 or $100 bucks on something that will help them, needs to take a look around.
        Let me make this really, really clear.

        I write almost exclusively for internet marketers. Better than 85% of my clients are other internet marketers.

        For the past six months, I've been charging $25 for a 500-word article. (I recently doubled my rates, so it's $50 for the same article today.)

        People order five and ten of those at a shot.

        You cannot tell me that an internet marketer won't spend $100 or $200 on his business, because I see them do it. Over and over again. And honestly, can't pretty much ANYONE who really tries produce a product that's worth more in the long run than ten articles?

        General rule of thumb: price your product at 20% of what people will save or make in their first year using it. If I buy a $200 product, I expect to put or keep $1,000 in my pocket as a result.
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        • Profile picture of the author Daniel Brock
          Daniel,

          I totally agree with you.

          I have been working pretty hard lately to try and raise the value of my products up to $97 so that I can really see a difference in my income.

          I have been selling ebooks in the price range of $17-27, it's been working well for me but I don't want to be selling $30 ebooks forever.

          Thanks for the post - really has got me thinking differently.

          -Dan
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        • Profile picture of the author Paul Myers
          This gets the "Most Useful Thread of the Month" award.

          Lots of actual thinking going on here. If you're new to the game, read this several times. Think about how each idea fits your business and your goals.

          Good stuff, folks. Carry on.


          Paul
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        • Profile picture of the author Steven Wagenheim
          Interesting topic, that I really didn't want to get sucked into ala ExRat.

          Roger, I know what you mean.

          I honestly didn't know whether to give my thanks to Dan or Michael. It seems
          as though the wrecking crew agrees with Dan by about 2 to 1.

          Here is my take on this whole subject, for whatever my nickel is worth
          these days.

          There are many factors involved with product creation. Some are tangible
          and others, not so.

          Let's start with the tangible factors first.

          1. Market Demand - It doesn't mean a hill of beans what YOU think of
          the product, self esteem aside, if nobody wants the damn thing. Now,
          with some niches, it's crystal clear that there is a demand. With others,
          not so. If you're in one of those crystal clear niches and they're already
          selling high ticket items AND you have something to actually offer, then
          by all means...go for it. Get over yourself and just do it.

          2. Production Feasibility - Just because there may be a demand for
          something, doesn't mean that for YOU it is feasible to create the product.
          Some products take massive amounts of research and work in order to
          bring about. Are you prepared to put in all that time? Are you even
          capable of doing all that work? Being able and willing are 2 different things.

          3. ROI - Depending on how much it costs you to make the product and
          what you can realistically sell it for, is it worth it? Are you going to get
          enough of a return?

          For example. I could spend 6 months putting together a massive home
          study course and sell it for $297 and sell 500 copies easily, making
          about $15,000. But I could spend those same 6 months spending less
          time creating a $30 product each month, selling 100 copies of each and
          make $18,000 in that same period of time for less work...a lot less work.

          So is it worth it for me to put so much time into a big ticket item?

          That's a question each person has to answer for himself.

          4. Support - Can you support the item? If you're going to sell a $297 home study course, you better be prepared to support it. You're going to get
          a lot more questions than from a $27 ebook.

          Now the intangible items.

          1. Your Self Esteem - Okay, let's talk about that. Somebody who is
          absolutely brand new to the marketing world has no basis in fact that
          they can sell a big ticket item, let alone any item. It doesn't even matter
          if it's a subject the person knows tons about. If they don't have the
          business experience to know whether or not the tangible items above
          are in line with giving this a go, they're going to be cautious. You can
          call it self esteem, fear or whatever you want.

          I call it being smart.

          You don't jump into the fire below unless you have a fire proof suit on
          or know the fire is going to go out before you hit bottom.

          Sure, we all take chances in this business...but the smart people take
          calculated risks. They don't just say, "Screw it...I'm going to create a $200
          product and see what happens."

          That's a recipe for disaster.

          2. Your Desire - Some people just don't want the hassle of having to
          create and support big ticket items. I know I don't. Who needs it? If
          you're making a good living selling $27 and $47 ebooks, why give yourself
          more work to do? Some people don't want to.

          I can probably think of more variables, but the point is, creating or not
          creating a $297 ecourse, or whatever the hell it is you want to put
          together, is more than just a matter of "Gee mommy, I don't think I'm smart
          enough to do this." There are many factors involved and each one has to
          be carefully examined and weighed before coming to any kind of a decision.

          Me?

          I like selling $27 ebooks.

          It gives me more time to do other things.
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          • Profile picture of the author Vagabond 007
            Originally Posted by Steven Wagenheim View Post

            For example. I could spend 6 months putting together a massive home
            study course and sell it for $297 and sell 500 copies easily, making
            about $15,000. But I could spend those same 6 months spending less
            time creating a $30 product each month, selling 100 copies of each and
            make $18,000 in that same period of time for less work...a lot less work.
            ?? :confused:

            $297 x 500 = $148,500
            $30 x 100 = $3,000

            EDIT: I'll assume you meant 50 copies, not 500.

            And 1 product at $30 and sell 100 per month. And then do that for 6 months. Although, saying this is a lot less work is not necessarily true.


            Originally Posted by Steven Wagenheim View Post

            4. Support - Can you support the item? If you're going to sell a $297 home study course, you better be prepared to support it. You're going to get
            a lot more questions than from a $27 ebook.
            Have you personally experienced this?

            My personal experience, although to be fair this was in the "offline" world, says the opposite.

            You attract a different kind of person when you charge more. Generally speaking, people who pay more money actually complain less and are easier to deal with.
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            • Profile picture of the author Steven Wagenheim
              Originally Posted by Vagabond 007 View Post

              ?? :confused:

              $297 x 500 = $148,500
              $30 x 100 = $3,000

              EDIT: I'll assume you meant 50 copies, not 500.
              Yeah, my math is a bit off.

              That's why I switched majors in college.

              Yeah, under those conditions I guess the extra work would be worth it.

              Okay, I never claimed to be a Charlie Epps.
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              • Profile picture of the author Vagabond 007
                Originally Posted by Steven Wagenheim View Post

                Yeah, my math is a bit off.

                That's why I switched majors in college.

                Yeah, under those conditions I guess the extra work would be worth it.

                Okay, I never claimed to be a Charlie Epps.


                I'll tell ya though, from my experience, it's much easier and less stressful to charge a higher price and then have less customers to deal with.

                Example, in a past life I was a mortgage broker. Before I knew anything about marketing I was chasing deals only to make a few grand per deal. Then, after I fell down the direct marketing rabbit hole, I started charging more and working less. And my income soared.

                So I guess it's a personal thing. I'm just all about the 80/20 principal.
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              • Profile picture of the author Robert Puddy
                You might think about this bit too Steven, she is 100% right



                Quote:
                Originally Posted by Steven Wagenheim View Post
                4. Support - Can you support the item? If you're going to sell a $297 home study course, you better be prepared to support it. You're going to get
                a lot more questions than from a $27 ebook.
                Have you personally experienced this?

                My personal experience, although to be fair this was in the "offline" world, says the opposite.

                You attract a different kind of person when you charge more. Generally speaking, people who pay more money actually complain less and are easier to deal with.
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                • Profile picture of the author Steven Wagenheim
                  Originally Posted by Robert Puddy View Post

                  You might think about this bit too Steven, she is 100% right



                  Quote:
                  Originally Posted by Steven Wagenheim View Post
                  4. Support - Can you support the item? If you're going to sell a $297 home study course, you better be prepared to support it. You're going to get
                  a lot more questions than from a $27 ebook.
                  Have you personally experienced this?

                  My personal experience, although to be fair this was in the "offline" world, says the opposite.

                  You attract a different kind of person when you charge more. Generally speaking, people who pay more money actually complain less and are easier to deal with.

                  Well, if I'm going to be perfectly honest, my own experience...I get very
                  few questions from anybody regardless of how much the product costs.

                  Most people don't even bother opening up the zip file.

                  Sad, but it's a fact. I wonder how many unopened products of mine are
                  sitting on hard drives collecting dust.

                  However, of all my products (highest priced $97) the $97 one DOES get
                  the most questions, though hardly enough to say they're overwhelming.
                  In fact, I'd expect more and yet...nada.

                  Really makes you wonder, doesn't it?
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      • Profile picture of the author Taylor French
        Originally Posted by Jeremy Kelsall View Post

        You would have to sell $7 and $27 for your whole life just to maintain a "regular" lifestyle. You have to find a way to take it up a notch to actually get anywhere.
        Tell that to Sam Walton's kids. :p
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        • Profile picture of the author Jeremy Kelsall
          Originally Posted by Taylor French View Post

          Tell that to Sam Walton's kids. :p
          They will be selling $7 products their whole lives

          PLUS

          $1,997 products as well....

          Which was kind of the point
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          • Profile picture of the author Taylor French
            Originally Posted by Jeremy Kelsall View Post

            They will be selling $7 products their whole lives

            PLUS

            $1,997 products as well....

            Which was kind of the point
            No, they will be sitting back developing whatever businesses interest them. They're not selling anything, anymore. :p

            The point is, $7 products made their father extremely wealthy, and it didn't take a lifetime to get there, either. Sam was a very wealthy man pretty quickly, and he did it by selling mostly inexpensive items in volume.

            You can make a fortune on cheap products just as easily as you can on expensive products. It's all about pricing for the market you're in and then finding the buyers.

            I hear people saying, "It's just as easy to sell a $200 product as it is a $20 product." And while that may be true in some markets, it is not true in all markets. Almost every marketer I know is experiencing dips (some major, some minor) in sales of their more expensive products, but their cheaper products are still selling well.

            Cheap products can make fortunes just as well as expensive ones.
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            • Profile picture of the author Jeremy Kelsall
              Originally Posted by Taylor French View Post


              The point is, $7 products made their father extremely wealthy, and it didn't take a lifetime to get there, either. Sam was a very wealthy man pretty quickly, and he did it by selling mostly inexpensive items in volume.
              I'm not sure what walmart you go to, but I'm going to assume that the $600+ electronics and $300 grocery receipts help quite a bit.

              If every person that walked in only spent $5 or $7 a couple times a year, would they still be in the same position?
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          • Profile picture of the author James Campbell
            Originally Posted by Jeremy Kelsall View Post

            They will be selling $7 products their whole lives

            PLUS

            $1,997 products as well....

            Which was kind of the point
            My self-esteem is just fine Sell the low priced product to get them in the funnel, and then move them along nicely.

            $7
            \/
            $37
            \/
            $97
            \/
            $197
            \/
            $497
            \/
            $997
            \/
            Seminar and private coaching for however much you feel your information is worth.

            No ripping people off, just always provide value that merits your pricing and honour your commitments.

            Wal-mart sells at all sorts of price ranges, be wal-mart, let everyone have a chance at a piece of the pie and they will keep coming back for more pie.

            Best Regards,
            James Campbell
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            • Profile picture of the author Jeremy Kelsall
              Originally Posted by James Campbell View Post

              My self-esteem is just fine Sell the low priced product to get them in the funnel, and then move them along nicely.

              $7
              /
              $37
              /
              $97
              /
              $197
              /
              $497
              /
              $997
              /
              Seminar and private coaching for however much you feel your information is worth.

              No ripping people off, just always provide value that merits your pricing and honour your commitments.

              Wal-mart sells at all sorts of price ranges, be wal-mart, let everyone have a chance at a piece of the pie and they will keep coming back for more pie.

              Best Regards,
              James Campbell

              The price of a product isn't the least bit indicative of it being a rip off.

              Places like Wal-Mart have a wide array of products. They don't rely on selling low cost products to keep their business going.

              Look at a company like Apple...They seem to be doing pretty well. I was just in the Apple store this morning and there was nothing cheap there...

              There was also barely room to move or a salesperson with the time to help me right away - I had to make a fricken appointment to give them $2,300!
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              • Profile picture of the author James Campbell
                Originally Posted by Jeremy Kelsall View Post

                The price of a product isn't the least bit indicative of it being a rip off.

                Places like Wal-Mart have a wide array of products. They don't rely on selling low cost products to keep their business going.

                Look at a company like Apple...They seem to be doing pretty well. I was just in the Apple store this morning and there was nothing cheap there...

                There was also barely room to move or a salesperson with the time to help me right away - I had to make a fricken appointment to give them $2,300!
                I fully agree with you, the price isn't indicative of it being a rip off, the quality is.

                I see so much crap being pushed here and other places it makes me sick. You are not one of the crap pushers, and I highly respect you for that.

                I'm not talking about selling low cost to keep a company going, a customer can enter at any of those price points, just like apple, you can enter at the $100 point with an ipod and you will eventually get the urge to get a matching imac or macbook.

                My point is that low price point isn't a bad thing, it gives everyone a chance to hear your message or at least a portion of it.

                Best Regards,
                James Campbell
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                • Profile picture of the author Daniel E Taylor
                  Originally Posted by James Campbell View Post

                  I fully agree with you, the price isn't indicative of it being a rip off, the quality is.

                  I see so much crap being pushed here and other places it makes me sick. You are not one of the crap pushers, and I highly respect you for that.

                  I'm not talking about selling low cost to keep a company going, a customer can enter at any of those price points, just like apple, you can enter at the $100 point with an ipod and you will eventually get the urge to get a matching imac or macbook.

                  My point is that low price point isn't a bad thing, it gives everyone a chance to hear your message or at least a portion of it.

                  Best Regards,
                  James Campbell
                  The point is THEY SELL HIGHER PRICED PRODUCTS!

                  That's my point. Don't just stay with low priced products.
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                  Self Actualization is one's true purpose. Everything
                  else is an illusion.

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                • Profile picture of the author Jeremy Kelsall
                  Originally Posted by James Campbell View Post

                  I fully agree with you, the price isn't indicative of it being a rip off, the quality is.

                  I see so much crap being pushed here and other places it makes me sick. You are not one of the crap pushers, and I highly respect you for that.

                  I'm not talking about selling low cost to keep a company going, a customer can enter at any of those price points, just like apple, you can enter at the $100 point with an ipod and you will eventually get the urge to get a matching imac or macbook.

                  My point is that low price point isn't a bad thing, it gives everyone a chance to hear your message or at least a portion of it.

                  Best Regards,
                  James Campbell
                  I don't think anyone said to never sell a low priced product...

                  For me anyway, it's a matter of progression and growth.

                  The problem as I see it with selling mostly low priced products online is you are always creating products...Unless it is software or a plugin or something else along those lines...

                  An example is, we created and sold a guide based on strategy for a certain game...Within 2 weeks the strategy was on every gaming forum around. Our guide at that point was worthless.

                  The same thing happens with IM products. You create something unique and before you know it people run around on forums posting about it, creatign their own products around it etc...

                  The shelf life of most info products is for the most part short lived.

                  So, if you have something good why feed into peoples perception of low quality by selling it at a low price?

                  I understand selling at a low price to get people into your "funnel" but that is entirely different that "selling" your products, know what I'm saying?
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        • Profile picture of the author Lance K
          Originally Posted by Taylor French View Post

          Tell that to Sam Walton's kids. :p
          And operations like that of Wal Mart are a dime a dozen aren't they? :p
          Signature
          "You can have everything in life you want if you will just help enough other people get what they want."
          ~ Zig Ziglar
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  • Profile picture of the author pheonix44
    In order to charge this much money you need a product that solves a problem that is hard for people to solve. As the old saying goes, "if you want to make alot of money do what others either don't won't or CAN"T".
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  • Profile picture of the author JamesPenn
    I agree with Daniel on this - although there are a lot of other relevant points.

    The reason a lot of people don't sell high value products is because they don't believe that people will pay that much for their information. I've felt like it before and know of a lot of others that have felt and do feel the same.

    The key is to bolt on real and perceived value to your offer.

    By real value I mean adding additional bonuses; by perceived value I mean turning your digital product into a physical product. It doesn't technically add additional value, but customers feel they are getting more for their money.

    James
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  • Profile picture of the author Imran Naseem
    Banned
    Anyone who thinks low priced products are "rehashed" is not a smart marketer.

    It depends on the market.

    Selling a low priced product does not mean junk. If you are a smart marketer, then you can create a group and market of "addicts" who will buy from you time and time again.

    (I think it was Allen says who mentioned this once in his reports in the old warrior forum war room)..

    You do not have to shove a $27.00 product in their throats every single time just to make a quick buck.

    It is all about smart backend marketing - list building, affiliate marketing, and building a relationship.

    Marketing at it's best.

    Just my 2 cents.

    Peace...not going to comment further.
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    • Profile picture of the author JamesPenn
      Originally Posted by Imran Naseem View Post

      If you are a smart marketer, then you can create a group and market of "addicts" who will buy from you time and time again.
      You can do this - but then you can never escape your business.

      You have to keep creating products and keep writing salespages to sell your products.

      It's fine if you want to run your business this way - but I'd rather get a customer into a sales funnel and then sell them products that increase in price and value in an automated way and that doesn't require me to constantly create new products to get a new cash injection.

      James
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      • Profile picture of the author ExRat
        Hi James,

        There's a problem contained within your two posts.

        The key is to bolt on real and perceived value to your offer.

        By real value I mean adding additional bonuses; by perceived value I mean turning your digital product into a physical product. It doesn't technically add additional value, but customers feel they are getting more for their money.
        plus -

        I'd rather get a customer into a sales funnel and then sell them products that increase in price and value in an automated way and that doesn't require me to constantly create new products to get a new cash injection.
        If you put REAL value (rather than perceived) into the first one (first quote), then its not such a problem. But even if the added stuff has real value, if the person you sell it to really doesn't need it that much, it isn't worth as much to them and they get remorse.

        So the problem I am referring to is that most people find it very hard to add that real extra value into a product in order to jack up the price - they simply don't posess that much value, and can't get hold of it. So they end up trying to shove as much crap in there as possible, while convincing themselves that the perceived value is high, purely because there are 146 bonuses.

        And then when they try and achieve what's within your second quote (selling again to buyers, but increasing the price each time) the buyer has already moved on to find a new person to sell them another lower priced product, because they felt slightly burnt with the previous purchase.

        What often happens is the 'upsell syndrome' where the first product is sold to them as 'the be all and end all', then no sooner have they parted with the cash for this 'answer to ALL of their problems', the marketer returns, acting as if they never created that impression and starts breaking to them that in fact, they actually need product no.2 in order to solve their problem.

        At this point, the seller loses the buyer's trust.
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        • Profile picture of the author Neil Morgan
          Isn't it all about ROI?

          For IM products and services, it should be.

          I've happily bought products that cost $2000 because I've been convinced I'm going to make more than that back in the longer term. So what I need as a prospect is a pitch that convinces me of the ROI case. And a higher price demands a stronger pitch.

          In the IM niche, people are looking for products that are going to give them a return in one way or another. If you're selling a $7 product and telling prospects they'll make thousands by using it why wouldn't you charge $197 or more?

          Your prospects will certainly be asking themselves that question and why you value your product so low.

          Is it because it doesn't work?

          Or because you can't convince people it will work?

          Or because you don't know?

          All creating negative perceptions in the minds of prospects.

          Or maybe it's a loss leader for you and that's cool - as long as your pitch addresses the above concerns.

          One final point - it's easier to start low and work higher than it is to start high and work lower to test your price point. That way you won't annoy existing customers who paid a higher price.

          Cheers,

          Neil
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          • Profile picture of the author Greg guitar
            Originally Posted by Neil Morgan View Post


            One final point - it's easier to start low and work higher than it is to start high and work lower to test your price point. That way you won't annoy existing customers who paid a higher price.

            Cheers,

            Neil
            Just wanted to mention that a nice way to avoid the pissed off customer syndrome (the ones who paid a high price and then saw the same thing for much lower), is to simply refund the difference for all who bought at the higher price, with a disclosure about your price testing procedure. Instead of being mad, they respect and appreciate you, and probably become loyal fans.
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      • Profile picture of the author Imran Naseem
        Banned
        Originally Posted by JamesPenn View Post

        You can do this - but then you can never escape your business.

        You have to keep creating products and keep writing salespages to sell your products.

        It's fine if you want to run your business this way - but I'd rather get a customer into a sales funnel and then sell them products that increase in price and value in an automated way and that doesn't require me to constantly create new products to get a new cash injection.

        James

        Not really. Unless you have your eggs in one basket and stay on the WSO forum 24.7 - relying on the WSO forum to make your income :rolleyes:

        Also a friend of mine recently launched a high end product for $500 and he was really upset his launch was not a "success".

        There was nothing wrong with his product - it was excellent but not many people bought it.
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        • Profile picture of the author JamesPenn
          Originally Posted by Imran Naseem View Post

          Not really. Unless you have your eggs in one basket and stay on the WSO forum 24.7 - relying on the WSO forum to make your income :rolleyes:

          Also a friend of mine recently launched a high end product for $500 and he was really upset his launch was not a "success".

          There was nothing wrong with his product - it was excellent but not many people bought it.
          That's only one example. You can't base your entire arguement on that.

          It doesn't matter that there was nothing wrong with his product. I could have the best product in the world, but if I can't convey that value to my prospects then I won't be able to persuade them to part with their money.

          Roger - I was in no way suggesting to under-deliver on front end products. I'm aware that that would instantly burn your relationship with your customer. You should only be selling products if you can deliver more than the value you are charging.

          James
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    • Profile picture of the author Jeremy Kelsall
      Originally Posted by Imran Naseem View Post

      Selling a low priced product does not mean junk. If you are a smart marketer, then you can create a group and market of "addicts" who will buy from you time and time again.
      But, if you can sell the same group time and time again at $27...who comes out on top?

      The person having to create 3 products compared to someone elses 1?

      Time VS Money Imran...

      IF your products are good they will pay $27, $37, or $97 - It doesn't matter...as long as they get value from what your selling.

      Even in the WSO forum, We sold 500 copies of a $67 ebook...How many $5 and $7 products does one have to sell to have the same financial gain?

      People don't buy a $5 product because they are "raving fans" they buy a $5 product because $5 isn't something that many give a second thought to.
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      • Profile picture of the author Imran Naseem
        Banned
        Originally Posted by Jeremy Kelsall View Post

        But, if you can sell the same group time and time again at $27...who comes out on top?

        The person having to create 3 products compared to someone elses 1?

        Time VS Money Imran...

        IF your products are good they will pay $27, $37, or $97 - It doesn't matter...as long as they get value from what your selling.

        Even in the WSO forum, We sold 500 copies of a $67 ebook...How many $5 and $7 products does one have to sell to have the same financial gain?

        People don't buy a $5 product because they are "raving fans" they buy a $5 product because $5 isn't something that many give a second thought to.


        Now this is no way my business model but the point I was making is you can create a group of "addicts" and establish a reputation.

        And if people are always going to claim low priced products are "rehashed" then I would say 99% of the Information products are rehashed.

        Time IS money - true. There is no way I would create a high quality product, and price it low as all the time and effort that goes into creating the product will just diminish.

        However, sometimes one has to test the market to see how they would respond.

        In the UK where I live there are two stores.

        One is Primark and the other is Marks and Spencers.

        Marks and Spencers is well known for its high quality "clothes" and "products" but its prices are expensive whereas Primark offers high quality products at low prices.

        Guess which one makes the most money?

        Primark.

        And also a high priced product does not necessarily mean the product is good. I have purchased many high priced products and most of them were the same old crap you can find on the Internet.

        Some were good, don't get me wrong but if you constantly rely on one revenue stream and keep your eggs in one basket then you would definitely change your business model.

        If the WSO forum died tomorrow what would you do? If your list was taken away from you would it affect your business?

        These are the questions one has to ask.

        Peace..
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        • Profile picture of the author Jeremy Kelsall
          Originally Posted by Imran Naseem View Post


          If the WSO forum died tomorrow what would you do? If your list was taken away from you would it affect your business?
          Imran, a VERY small percentage of what we do derives in the WSO section.

          In 2+ years of being a warrior I've had 9 or 10 WSO's not 50 - 100 like so many others.

          That aside though....

          I can show you low priced and free products that I've done and also products that I've sold for $197+ ,Most people that sell low priced products, can't do the same - because they are all low priced.

          They either feel that their products are not worth more than they are selling them for or they are afraid they won't have the same results.

          Personally, I don't care if anyone buys my stuff - But, I'm not going to sell something that MAKES me money for $5 or $7 - I don't have the ulterior motive when I sell something of "I'm going to sell it cheap to get them on my list" My motive is to sell a product and make money.

          I would personally prefer to have people on my list that are willing to spend $27 - $197 than someone who is getting something for next to nothing...
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        • Profile picture of the author Adam Carn
          Originally Posted by Imran Naseem View Post

          In the UK where I live there are two stores.

          One is Primark and the other is Marks and Spencers.

          Marks and Spencers is well known for its high quality "clothes" and "products" but its prices are expensive whereas Primark offers high quality products at low prices.

          Guess which one makes the most money?

          Primark.
          Bare in mind they both sell similar types of clothing for different prices so obviously the lower price would win. But if your product IS better than the rest and you can convince people it is you can charge people a higher price for it and they'd be happy to buy it.

          And also a high priced product does not necessarily mean the product is good. I have purchased many high priced products and most of them were the same old crap you can find on the Internet.
          That's a different issue, obviously nobody can get away with selling a crap product whether it's $1 or $1,000. But if you've created a high value product which you're confident with you can usually sell it for a high price.

          Thanks,
          Adam
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        • Profile picture of the author JamesPenn
          Originally Posted by Imran Naseem View Post


          In the UK where I live there are two stores.

          One is Primark and the other is Marks and Spencers.

          Marks and Spencers is well known for its high quality "clothes" and "products" but its prices are expensive whereas Primark offers high quality products at low prices.

          Guess which one makes the most money?

          Primark.
          Actually, Primark is still a long way behind Marks and Spencer in terms of annual sales and profits - although it is catching up.

          Plus, Primark definitely does not offer quality products.
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          • Profile picture of the author Ashley Gable
            I dont really agree. I can just as easily make 4 very good ebooks, that solve a specific problem, and sell it just the same. Diversify.

            I am not saying a $97 product isnt worth selling, but unless I feel I have info worth $97, I sure as hell wont charge people for it. Also the idea that low self esteem is in anyway tied to lower priced products is absurd and a little ignorant.
            What about people who sell $25,000 coaching services ... are they arrogant? Over confident? If we go by your understanding of it, then yes they are.

            I agree that if I had a $97 product I would make more quickly, common math really.
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            • Profile picture of the author Lance K
              Wal Mart, Big Mike, etc. aren't the best examples in the context of this thread. Because they obviously have a specific business strategy.

              Unless I totally misunderstood the OP, Daniel's talking about those who create a product and arbitrarily choose a low price because they're scared that nobody will pay any more for it.
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              "You can have everything in life you want if you will just help enough other people get what they want."
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  • Profile picture of the author MR.MOE
    I disagree. I think its rather building your list and your customers rather than anything else. Basically when you lower the price you build a relationship with your buyers. They see you have a good product and a good price they will defiantly come back. I think having a high price will build a real short term relationship where having a good fair price will build you a list that responds.

    I know a guy that does the same thing. He wayyyy over delivers in his products and the price is horrible I mean its so low I get on him for it all the time. However everytime he has a product out he has al his old customers buying his product without even thinking. Also I think it allows you to slip in a high price once in a while and your cutsomers will still buy.

    So I don't think its about sekf worth and if you value yourself. I think its about if you value your customers


    Moe
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    • Profile picture of the author Daniel E Taylor
      Originally Posted by MR.MOE View Post

      I disagree. I think its rather building your list and your customers rather than anything else. Basically when you lower the price you build a relationship with your buyers. They see you have a good product and a good price they will defiantly come back. I think having a high price will build a real short term relationship where having a good fair price will build you a list that responds.

      I know a guy that does the same thing. He wayyyy over delivers in his products and the price is horrible I mean its so low I get on him for it all the time. However everytime he has a product out he has al his old customers buying his product without even thinking. Also I think it allows you to slip in a high price once in a while and your cutsomers will still buy.

      So I don't think its about sekf worth and if you value yourself. I think its about if you value your customers


      Moe
      LOL.... Sorry man but come on. You're doing to much thinking.

      How in the world can a product that costs $197 be building a relationship
      for the short term and a product that cost $27 be building a relationship
      for the long term.

      Someone who spends $200 with you will probably stick around longer
      than someone who spends $27 with you. At least that's what I have found.

      Daniel
      Signature

      Self Actualization is one's true purpose. Everything
      else is an illusion.

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      • Profile picture of the author MR.MOE
        Originally Posted by Daniel E Taylor View Post

        LOL.... Sorry man but come on. You're doing to much thinking.

        How in the world can a product that costs $197 be building a relationship
        for the short term and a product that cost $27 be building a relationship
        for the long term.

        Someone who spends $200 with you will probably stick around longer
        than someone who spends $27 with you. At least that's what I have found.

        Daniel
        I guess we are dealing with different customers
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        • Profile picture of the author Lance K
          I think Daniel's original point is that many new and even some intermediate marketers don't even try charging more because it's their belief that it won't work.

          Now if you've tested it and it won't work that's a different story. And I'd tend to agree with Daniel that if that's the case, it's probably not a worthwhile market.

          But if you've never even tested higher prices, you almost certainly have some sort of self limiting belief that's keeping you from doing so.

          I don't think he was trying to get into whether someone's ebook is a loss leader or a profit center, etc. Just that if you haven't even tried because of your own belief, it may be time to set your beliefs aside and test a higher price.

          And you might as well develop some back end products/services and optimize the price of those while you're at it.
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          • Profile picture of the author MichaelHiles
            Originally Posted by Lance K View Post

            ...test a higher price.
            And MY point was that it's all based on the test. Nothing else.

            If someone is afraid to test, for whatever reason, then their life expectancy in any business as an entrepreneur is going to be pretty short lived.
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            • Profile picture of the author Lance K
              Originally Posted by MichaelHiles View Post

              And MY point was that it's all based on the test. Nothing else.

              If someone is afraid to test, for whatever reason, then their life expectancy in any business as an entrepreneur is going to be pretty short lived.
              I know. And I agree. I think the OP was making the assumption that more people don't test than do. And I'd agree with that as well. It's easy to have a scarcity mindset starting out. If you can't convince yourself that people will pay more for your product/service than what your competition charges, how can you ever convince a prospect? So bringing more value to the market is key, but you also have to believe in what you're selling.
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              "You can have everything in life you want if you will just help enough other people get what they want."
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  • Profile picture of the author pheonix44
    I remember when I was a teenager and I was heavily into mailorder. I would buy every issue of the opportunity magazines and I was on several mailing list to get offers in the mail. These were not cheap offers, the average price was 50-70 bucks and the highest I seen was 200.00.

    There were also a bunch of 30.00 offers, these were the offers that would have full page displays. But their goal was to upsell the crap out of you and it worked. The copy was short, but made me believe if I bought it I would be ahead of everyone else.

    The most I paid for a product was 197.00$ and I did this twice,I had to be heavily presold first. The point is when I think back to what made me spend this much money, even if it was my LAST was the feeling that I would be a fool not to buy.

    Since I have been on the internet I have not seen a product like these since that made me want to spend 200.00$ It was also a rush waiting for the product to come in the mail. When that big brown envelope would arrive, let me tell you, it was almost better the sex.
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  • Profile picture of the author Akky
    The only problem I see when offering yer ebook for a low price to your list is that they will expect future offers from you for $7 or $10 as well. The response to a $10 product will be greater to a $100 product. You get the idea. Same thing applies here. If you sell a product priced at $7 or $5. Some people will see it as rehashed crap.

    Low Priced Product => Less Trust
    High Priced Product => More Trust

    Product Quality and the Market has a great significance for gaining more trust...

    You'll get more trust for the high priced product only if you can hit them up with great content instead of the same content which they would get at $20. You have to offer them awesome kinda quality. If that high priced product becomes a HIT, I mean, a BIG hit, you can offer your future high priced / low priced products to them.

    Although I am no expert, it's just my opninion.. However, I agree to 95% on what Daniel said.

    It's not about self esteem, it's about future customers..

    Good Day,
    Akky
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  • Profile picture of the author Ron Hitson
    I guess BIG Mike has low self esteem, with all of valuable, HIGH QUALITY products that he sells at prices($7.77-$30) just about anyone can afford.






    Originally Posted by Daniel E Taylor View Post

    This thread may ruffle a few feathers. But I speak not just
    from judging others but from my OWN personal experience,
    and journey with IM.

    This isn't a 100% of the time thing, there are exceptions
    to this, but honestly very few.

    If you have dreams of being the next frank kern, or doing
    over 100k per year and you are struggling to get there
    it's probably because you don't put value on your knowledge
    and products.

    And that comes from having low self esteem and low self worth
    which 99% of the population suffer from. So it's nothing embarrassing.

    At some point you have to realize that selling $37 products only
    is going to take massive amounts of sales day end and day out
    to reach 6 figures and beyond.

    That's why I think it's important you have at least a $97 product
    and a $197 product.

    I mean why wouldn't you. It just makes sense mathematically.

    3 sales at $100 = $300
    2 sales at $200 = $400

    So with 5 sales per day you could already be making $700.

    It would take 20 sales at $30 just to make $600.

    Most of the time we allow our mind to lie to us so we don't
    face reality.

    Your mind will say stupid things like "People can't afford it at that price",
    "It's going to be harder to sell", etc...

    Coming from someone who sells those products I will say this.

    It's really no harder to sell a $200 product than a $30 product.

    The difference is you will get more sales at $30, maybe even double,
    but the few sales you get at $200 add up really fast.

    If you look deep inside your self it's just your self esteem. You don't
    believe you are worth that much money. It's because that's how
    we are programmed to think in this society we live in.

    I will say this. If you have a product that actually gets results and
    SOLVES someone PROBLEM they will pay anything.

    And trust me they have the money. People find a way to afford
    something they want.

    It really changed my life when I went back to the ghetto and
    finally realized something.

    Everyone has freakin Iphones and Blackberrys.

    People spend $400 on freakin phones. Something that will give them
    0 ROI. And they FIND a way to afford it.

    So if you have a PRODUCT that actually gives tangible results
    it's well worth $200.

    Then you need to get into selling $1000+ items to really
    boosts your income.

    Notice all the guru millionaires you want to be like all have
    high ticket items. There is a reason for that. DUH!

    It all comes down to your self esteem. Raise that and
    your life will change dramatically.

    Daniel
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    "Perseverance is a great element of success. If you only knock long enough and loud enough at the gate, you are sure to wake up somebody"
    -Henry Wadsworth Longfellow
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  • Profile picture of the author desmond11
    I suppose the question that needs to be asked is how many people these days buy a $97 right off the bat without any pre-selling or launch hype. I know I don't.

    However, if I bought a $27 product from someone and I made a decent $$ ROI, you bet I'll purchase their $97 product if it promises to offer and deliver more than the original. I was sold when I made my initial investment back.

    I think it's a brilliant thread that's motivating and makes the brain cells twirl a bit. I do however, think you need to build up a level of trust before you can go and pitch a $97 product. Especially in the IM niche.

    We all do our research and buy based on emotion, feedback, and testimonials. I won't lie. If a product has some decent testimonials from TRUSTED warriors, I wouldn't think twice about buying it. If the product has no feedback, no testimonials, and written by someone I've never heard of. There isn't a chance in hell that I'll part with $97. No matter how good or well crafted the salespage.

    Note: Video proof of earnings could sway me a bit. Though, we all know these can be manipulated. The bootcamps are more effective where you can see things in real time and are able to reverse engineer the websites used and techniques at play.
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  • Profile picture of the author Fernando Veloso
    Daniel,

    Great reminder.

    My product was on sale for $27 and only had a couple sales. Then I turned the price to $47 and wrote a new sales, directed to a older audience. Result? Very similar number of sales per month. BUT bigger income.

    Oh and people talk about the product as a "that must be good, cause it's expensive".

    OH #2 - My Radio Boss used to told me: Fernando, we know this cause we work in here. Outside people don't know and don't care.

    Bottom line? What is expensive for us (IMers) is not seen the same way by users.

    Just sayin...
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    People make good money selling to the rich. But the rich got rich selling to the masses.
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  • Profile picture of the author Adam Carn
    I agree with Daniel and have actually tested this over the years. I priced one of my products (in the IM niche) initially for $97. It sold well. I then raised the price to $127 and it sold even better. Then I thought wait a minute if it sells so well at a high price why not try selling it at a lower price. I then reduced the price to $67 as a test and it just didn't sell as well.

    So I know for a fact if you have a good product with a good sales copy it can sell for a good price.

    Thanks,
    Adam
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  • Profile picture of the author Imran Naseem
    Banned
    Either way.

    Test test test.



    Interesting thread!
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  • Profile picture of the author Erik Ortega
    I loved your point about the people in the ghetto with Iphones and Blackberrys lol!

    I'm from the South Bronx and every time I talk to any of my friends from there, they've all got better phones and electronics then me!
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    • Profile picture of the author Lance K
      Perceived value is king.

      To certain markets (IM, make money, etc.) expected ROI is a big part of perceived value.

      In other markets, perceived value depends on other things. To some, the "status" associated with the $400 phone makes it more appealing than paying their bills on time this month. People buy what they want, not what they need. Their wants determine how they perceive value in different items. If you want to know for certain what people want, test constantly and let them vote with their wallets.
      Signature
      "You can have everything in life you want if you will just help enough other people get what they want."
      ~ Zig Ziglar
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  • Profile picture of the author Slin
    I disagree, I can price a product really low to build a large buyers list.

    High priced products do tend to result in lower conversions, it all depends on what you are targeting. Or you could offer a ton of inexpensive products, gain a buyers list, then release a 97$ one to make real money.

    Just saying, having lower priced products does have it's reasons.
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    • Profile picture of the author Robert Puddy
      Originally Posted by Slin View Post

      I disagree, I can price a product really low to build a large buyers list.

      High priced products do tend to result in lower conversions, it all depends on what you are targeting. Or you could offer a ton of inexpensive products, gain a buyers list, then release a 97$ one to make real money.

      Just saying, having lower priced products does have it's reasons.

      Which would you rather have...

      a list of 100,000 who will buy $7 products OR....

      A list of 1000 people who will buy $1000 products

      Do the maths then factor in support time for the 100k list against support for 1000 people

      And i guarantee the $1000 people will hardly ever complain, ask for refunds or need a lot of support

      The $7 people will bitch and moan and send you death threats if you dont pander to there every whim.

      If you dont have multiple products ranging in price from $7 all the way to $1000 and beyond your doing your self a disservice.

      And even ebooks can be value added upto $100's with multi media delivery, MP3 video etc

      Robert
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      • Profile picture of the author Chris Worner
        Originally Posted by Robert Puddy View Post

        Which would you rather have...

        a list of 100,000 who will buy $7 products OR....

        A list of 1000 people who will buy $1000 products

        Do the maths then factor in support time for the 100k list against support for 1000 people

        And i guarantee the $1000 people will hardly ever complain, ask for refunds or need a lot of support

        The $7 people will bitch and moan and send you death threats if you dont pander to there every whim.

        If you dont have multiple products ranging in price from $7 all the way to $1000 and beyond your doing your self a disservice.

        And even ebooks can be value added upto $100's with multi media delivery, MP3 video etc

        Robert
        Couldn't agree more.

        I'd also like to add that when you keep offering significant discounts on your products and services, they get used to it, take it for granted and start to value you less because you HAD to offer a DISCOUNT(suggesting that you are having trouble selling it in the first place because it is not of high quality)

        and when you do decide to raise your prices they ask why they have to pay an increase when you gave them discounts on the last product or service you offered.

        I know this from previous experience as a masseuse to NOT undervalue let alon UNDERSELL your products and services because your clients WILL NOT treat you or your stuff with respect.

        Just my experience
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      • Profile picture of the author BIG Mike
        Banned
        Originally Posted by Robert Puddy View Post

        Which would you rather have...

        a list of 100,000 who will buy $7 products OR....

        A list of 1000 people who will buy $1000 products

        Do the maths then factor in support time for the 100k list against support for 1000 people

        And i guarantee the $1000 people will hardly ever complain, ask for refunds or need a lot of support

        The $7 people will bitch and moan and send you death threats if you dont pander to there every whim.

        If you dont have multiple products ranging in price from $7 all the way to $1000 and beyond your doing your self a disservice.

        And even ebooks can be value added upto $100's with multi media delivery, MP3 video etc

        Robert
        Personally, I'd rather have a list of 100,000 who bought a $7 product to funnel into the $1,000 product, which I think would convert more than 1% of that 100K list

        Best of both worlds brother!
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        • Profile picture of the author Robert Puddy
          Originally Posted by BIG Mike View Post

          Personally, I'd rather have a list of 100,000 who bought a $7 product to funnel into the $1,000 product, which I think would convert more than 1% of that 100K list

          Best of both worlds brother!
          Yes yes I have both too

          My point was you have to have that range of products, dont stay with just $7 ebooks

          Most people have more $7 reports on thier hard drive than they know what to do with, a lot of them are looking for the next stage and want a more indepth (higher priced) product

          The free and $7 $27 levels are lead generation levels, so you can funnel them through to the $1000 products

          And please dont anyone tell me that free people wont buy $1000 products, they do every day, and if you dont create a $1000 product to sell to them I will

          Robert
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  • Profile picture of the author BIG Mike
    Banned
    @Daniel - firstly, I do agree with what you're saying overall...I just want to point out a couple of things on the low-cost side (was going to start a thread about this, but will use yours).

    Assuming you've got a good quality product to offer, the lower the price, the greater your market reach. For example, we sell products ranging from $4.95 to $29.95 and during our Black Friday sale, pulled in $27K in sales. Since the process was entirely automated, the greater volume to make up the difference was simply not relevant.

    At an average of $10.36 per sale, we did well over 2,500 sales. Roughly 40% of them were first time buyers, which puts them in the loop for us in terms of lifetime customer value of slightly over $1K each. That works out to a future value of $900K or so for us.

    We've sold $97 and $147 products successfully in the past. No doubt about it, it's sweet, but in our particular case, we see far more profit by working the lower cost products than the higher priced ones.

    And I'll say this - selling these low cost products, we do far better than a measly $100K per year and to be perfectly honest, we seem to be working less now than in the past.

    That doesn't put us off high-end products...next year we've got one coming out at $247 to $297 that we anticipate selling well and easily enough.

    I'm not suggesting everyone wrap their entire business model around low cost items, but they do represent one more revenue stream that is easy to manage, if you're automating everything.
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  • Profile picture of the author TheRichJerksNet
    Originally Posted by Daniel E Taylor View Post

    And that comes from having low self esteem and low self worth
    which 99% of the population suffer from. So it's nothing embarrassing.

    At some point you have to realize that selling $37 products only
    is going to take massive amounts of sales day end and day out
    to reach 6 figures and beyond.

    Notice all the guru millionaires you want to be like all have
    high ticket items. There is a reason for that. DUH!

    It all comes down to your self esteem. Raise that and
    your life will change dramatically.

    Daniel
    Ha Ha!! Your post is funny ... Has nothing at all to do with self esteem, I can see you do not know business very well.

    I have sold sites for $30,000+ and I have sold them for $50... I am a website developer after all.. But my products I add the price that I feel I should sell it for and not what I think will make me the most money in the shortest amount of time.

    Let me point out a few things for you since you seem to be very uneducated when it comes to how or why others run their business the way they do.

    1. Not everyone is trying to make a 6 figure income.

    2. Not everybody wants to be like these so called gurus

    3. Some people actually prefer to help vs tring to get rich off people

    It's amazing how you can "assume" that everybody wants the same thing.

    My life does not need a change, nothing wrong with it right now as it is ..

    What a freaking joke of a thread you started...

    James
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  • Profile picture of the author TelegramSam
    Originally Posted by Daniel E Taylor View Post


    It all comes down to your self esteem.

    Daniel

    This is an over-simplification where products are concerned.

    Many markets can't justify a large price item, especially if there is lots of competition.

    Try to sell iphones for $1,000 and see how far you get.

    Ok, regarding info products there is more scope, because information can be packaged differently.

    A big reason why people don't sell $1,000 ebooks is because they are not worth $1,000.

    Sure we can raise or tweak prices, but it depends on testing and positioning.

    It takes a lot of work to build enough value to merit $1,000 or even $197.

    It is not simply a case of stick a couple of zeros on the end and sit back and watch the money roll in. This is naive.

    Having said all that, most people do undersell and undervalue their products, but too many people sell crap for $$$$$'s.

    Sam
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  • Profile picture of the author sdentrepreneur
    Best products to sell are Internet Education based. There is a very high demand for them and with thousands of people turning to the Internet to increase their income, its a perfect market to be in. I sell $9,000 and $20,000 products online, commissions are big and you only need a few sales per month to create great wealth. I fired Clickbank 2 years ago. :-P
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    • Profile picture of the author Ken Strong
      Surprising number of emotionally charged responses in this thread. It seems to be the part about self-esteem that's riling people up, which only proves the OP's point. If your buttons can be pushed that easily, it might be a sign that there's something that needs your attention.
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      • Profile picture of the author Daniel E Taylor
        Originally Posted by KenStrong View Post

        Surprising number of emotionally charged responses in this thread. It seems to be the part about self-esteem that's riling people up, which only proves the OP's point. If your buttons can be pushed that easily, it might be a sign that there's something that needs your attention.
        I thought I was the only one that noticed that lol...

        Where did I say don't charge less than $100 for products.

        In fact I've said numerous times many of my products are
        lower priced.

        But you know how it is on a forum. Most people get emotional
        and it lets it misconstrue the point. Which is still all good. Great for
        discussion!
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    • Profile picture of the author JohnMcCabe
      Daniel, on the whole I agree with you. If someone wants to "be like Frank" they need to learn to "charge like Frank" and "deliver like Frank."

      Choosing to focus on volume at low prices can be very lucrative. Just ask Big Mike, or Sam Walton's kids. But the margins are thinner, including the margin for error.

      I would say that, if a marketer has aspirations of hitting the big time, they need to develop a bit of comfort working the higher end of the price spectrum. Maybe that means more self-esteem, maybe it's just getting that last burst of momentum to make the leap of faith.

      My late grandfather was head chef at a serious fine-dining restaurant* for most of his career. He was constantly trying to get us grandkids to expand our palates. The common question was 'what if we don't like it?"

      The advice he gave us kids fits perfectly here, too.

      "If you don't try it, you'll never know."

      * Charlie's Cafe Exceptionale in Minneapolis, Minnesota, for the older folks who might know the area. The restaurant has been gone for years, now.
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  • Profile picture of the author CDarklock
    Originally Posted by Daniel E Taylor View Post

    At some point you have to realize that selling $37 products only is going to take massive amounts of sales day end and day out to reach 6 figures and beyond.
    Wait, massive?

    $37 * 365 = $13,505 annual return from one product sale every day

    $100,000 / $13,505 = 7.4 product sales per day average

    So if you make eight products and sell one of each every day, you'll get your six figures.

    Can't sell one a day? Fine. Simply multiply 7.4 by the number of days you need to make a sale, and that's how many products you need.

    Most people can make a product in a month. You can do it in a week, if you try hard enough and get the right training, but one product a month is possible for just about anyone. Outsourcing it costs about $500 for a pretty high-quality result, and you can expect about double that from one sale a day in the first month.

    So figure $7,500 up-front to produce fifteen $37 products, throw them all over the net, and if you can make a sale of each one every other day... problem solved.

    This does sort of handwave the question of how to produce a product that will consistently sell one copy every other day, year-in and year-out. But it's certainly not a massive number of sales per day.
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    • Profile picture of the author TheRichJerksNet
      Originally Posted by CDarklock View Post

      Wait, massive?

      $37 * 365 = $13,505 annual return from one product sale every day

      $100,000 / $13,505 = 7.4 product sales per day average

      So if you make eight products and sell one of each every day, you'll get your six figures.

      Can't sell one a day? Fine. Simply multiply 7.4 by the number of days you need to make a sale, and that's how many products you need.

      Most people can make a product in a month. You can do it in a week, if you try hard enough and get the right training, but one product a month is possible for just about anyone. Outsourcing it costs about $500 for a pretty high-quality result, and you can expect about double that from one sale a day in the first month.

      So figure $7,500 up-front to produce fifteen $37 products, throw them all over the net, and if you can make a sale of each one every other day... problem solved.

      This does sort of handwave the question of how to produce a product that will consistently sell one copy every other day, year-in and year-out. But it's certainly not a massive number of sales per day.
      Great points ... I got an even better one the OP did not account for...

      $10 monthly membership x 1,000 members = $10,000 a month, there goes your six figures from one site and as a membership site most of it can be automative..

      James
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  • Profile picture of the author pheonix44
    Don't you also believe that someone who buys a higher priced item is more likely to be a better long term customer then someone who buys a 7 dollar item. I've bought WSOs that were 7 just because of the cheap price. But if I spend 100.00$ on a product I will surely be more invested and responsive.
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  • Profile picture of the author dsmpublishing
    Hi guys

    i sell one of my products about twitter for $97 and it gets me sales every day which seriously adds to my income stream.

    At the end of the day if your product is hot people wont have a problem paying this price for it. Plus affiliates would love to have a cut of a high ticket item.

    kind regards


    sam
    X
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  • Profile picture of the author nicholasb
    yeah I agree, the first product I ever put out there was $500 dollars, now i have a few ranging from $47 $97 $ $247 and $500 I am also adding a 2k product very soon.

    I have sold more of the $250 and $500 product than any others that I have.

    I am the opposite though, instead of starting them low and going high, I start high and go low. which each version is just a downgraded version of the $500 product.

    I have had very few of the $47 dollar product to sell, but from time to time I get a few.

    from my personal experience it is just as easy to sell more expensive products than cheaper ones,

    the $500 dollar sales are the easiest, while the $47 dollar product usually takes a little convincing and emailing back and fourth with the buyer.
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  • Profile picture of the author TheRichJerksNet
    Originally Posted by Daniel E Taylor View Post

    This thread may ruffle a few feathers. But I speak not just
    from judging others but from my OWN personal experience,
    and journey with IM.

    This isn't a 100% of the time thing, there are exceptions
    to this, but honestly very few.

    If you have dreams of being the next frank kern, or doing
    over 100k per year and you are struggling to get there
    it's probably because you don't put value on your knowledge
    and products.

    And that comes from having low self esteem and low self worth
    which 99% of the population suffer from. So it's nothing embarrassing.

    At some point you have to realize that selling $37 products only
    is going to take massive amounts of sales day end and day out
    to reach 6 figures and beyond.

    That's why I think it's important you have at least a $97 product
    and a $197 product.

    I mean why wouldn't you. It just makes sense mathematically.

    3 sales at $100 = $300
    2 sales at $200 = $400

    So with 5 sales per day you could already be making $700.

    It would take 20 sales at $30 just to make $600.

    Most of the time we allow our mind to lie to us so we don't
    face reality.

    Your mind will say stupid things like "People can't afford it at that price",
    "It's going to be harder to sell", etc...

    Coming from someone who sells those products I will say this.

    It's really no harder to sell a $200 product than a $30 product.

    The difference is you will get more sales at $30, maybe even double,
    but the few sales you get at $200 add up really fast.

    If you look deep inside your self it's just your self esteem. You don't
    believe you are worth that much money. It's because that's how
    we are programmed to think in this society we live in.

    I will say this. If you have a product that actually gets results and
    SOLVES someone PROBLEM they will pay anything.

    And trust me they have the money. People find a way to afford
    something they want.

    It really changed my life when I went back to the ghetto and
    finally realized something.

    Everyone has freakin Iphones and Blackberrys.

    People spend $400 on freakin phones. Something that will give them
    0 ROI. And they FIND a way to afford it.

    So if you have a PRODUCT that actually gives tangible results
    it's well worth $200.

    Then you need to get into selling $1000+ items to really
    boosts your income.

    Notice all the guru millionaires you want to be like all have
    high ticket items. There is a reason for that. DUH!

    It all comes down to your self esteem. Raise that and
    your life will change dramatically.

    Daniel
    Daniel,
    The reason why you have got some responses you have got is becuase you are trying to state your opinions as fact and you are assuming many things which you can't do ...

    1. If you look deep inside your self it's just your self esteem. You don't
    believe you are worth that much money. It's because that's how
    we are programmed to think in this society we live in.

    This is NOT fact but you have it stated as one, just because someone sells a product for a lower cost does not mean they have low self esteem and it certainly does not mean they do not value their product.

    2. Notice all the guru millionaires you want to be like all have
    high ticket items. There is a reason for that. DUH!

    You are assuming and trying to state as a fact that everyone wants to be like all the guru millionaires. This is not a true statement at all and it assumes a great deal. Not everyone "follows" those so called gurus and not everyone models what they do after those so called gurus. Some of us actually run our business the way "WE" see fit and not follow and try to be like someone else.

    Personally I do not take offense to your thread at all but I find it funny because you state facts that are not facts and you assume way far too much..

    James
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    • Profile picture of the author Daniel E Taylor
      Originally Posted by TheRichJerksNet View Post

      Daniel,
      The reason why you have got some responses you have got is becuase you are trying to state your opinions as fact and you are assuming many things which you can't do ...

      1. If you look deep inside your self it's just your self esteem. You don't
      believe you are worth that much money. It's because that's how
      we are programmed to think in this society we live in.

      This is NOT fact but you have it stated as one, just because someone sells a product for a lower cost does not mean they have low self esteem and it certainly does not mean they do not value their product.

      2. Notice all the guru millionaires you want to be like all have
      high ticket items. There is a reason for that. DUH!

      You are assuming and trying to state as a fact that everyone wants to be like all the guru millionaires. This is not a true statement at all and it assumes a great deal. Not everyone "follows" those so called gurus and not everyone models what they do after those so called gurus. Some of us actually run our business the way "WE" see fit and not follow and try to be like someone else.

      Personally I do not take offense to your thread at all but I find it funny because you state facts that are not facts and you assume way far too much..

      James
      Maybe you seem to skip this part

      If you have dreams of being the next frank kern, or doing
      over 100k per year and you are struggling to get there
      it's probably because you don't put value on your knowledge
      and products.

      I said IF you have dreams of being the next kern. When did I say
      everyone had those dreams?

      So like I said earlier. The thread is getting many responses from
      people who don't take the time to fully understand what has been
      written. And you are a prime example of this.

      Thanks for proving my point.

      Daniel
      Signature

      Self Actualization is one's true purpose. Everything
      else is an illusion.

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      • Profile picture of the author TheRichJerksNet
        Originally Posted by Daniel E Taylor View Post

        Maybe you seem to skip this part

        If you have dreams of being the next frank kern, or doing
        over 100k per year and you are struggling to get there
        it's probably because you don't put value on your knowledge
        and products.

        I said IF you have dreams of being the next kern. When did I say
        everyone had those dreams?

        So like I said earlier. The thread is getting many responses from
        people who don't take the time to fully understand what has been
        written. And you are a prime example of this.

        Thanks for proving my point.

        Daniel
        No I fully understand the post and the parts I posted on you did in fact assume things and try to state your opinions as fact.

        Many have read it the same way as me because that is how your written the post.

        You did not say Notice all the guru millionaires that you may want to be like with all have high ticket items. There is a reason for that. DUH!

        No you assumed everybody wants to be be like them by saying

        "Notice all the guru millionaires you want to be like all have
        high ticket items. There is a reason for that. DUH!"

        Also you did not say You may not believe you are worth that much money. If so this could be because that's how you may be programmed to think in this society we live in.

        Sorry this is wrong.. because what you tried to state was a fact

        "If you look deep inside your self it's just your self esteem. You don't
        believe you are worth that much money. It's because that's how
        we are programmed to think in this society we live in."

        See the big difference ? You have assumed and have tried to state opinions as facts..

        James
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      • Profile picture of the author MichaelHiles
        Originally Posted by Daniel E Taylor View Post

        Maybe you seem to skip this part

        If you have dreams of being the next frank kern, or doing
        over 100k per year and you are struggling to get there
        it's probably because you don't put value on your knowledge
        and products.

        I said IF you have dreams of being the next kern. When did I say
        everyone had those dreams?

        So like I said earlier. The thread is getting many responses from
        people who don't take the time to fully understand what has been
        written. And you are a prime example of this.

        Thanks for proving my point.

        Daniel
        IIRC, the pet rock cost far less than $97
        Signature
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  • Profile picture of the author YanKirby
    Very interesting thread I must say. Id have to agree with michael hiles on this one. The bottomline is TEST. Whether you are in the IM niche or any other, TEST, Test, and Test.
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  • Profile picture of the author Shana_Adam
    People will always pay for quality no matter how broke they are - its a fact. Look at women who buy expensive $200 shoes even though they are in masses of debt.

    I personally have dined at some of the most expensive restaurants even though at the time my salary could not afford it - why? For quality and expensive tastes can be scintillating and oh so addictive.

    So the question now is who has the low self esteem - you or the client?
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    • Profile picture of the author competitive
      Back in 2003 I did not know who Shawn Casey was and he had a program that I joined called "Cash Flow Circle" this was an underground training/coaching program run by Shawn. He showed me how to develop my own product with a sales page, download page, how to choose a merchant, how to build a subscriber list with an autoresponder. When I launched my product I sold it for $97 and it sold at that price. This was not based on anything I just thought up the price and went with it. I did not even test it.
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    • Profile picture of the author Imran Naseem
      Banned
      Originally Posted by Shana_Adam View Post

      People will always pay for quality no matter how broke they are - its a fact. Look at women who buy expensive $200 shoes even though they are in masses of debt.

      I personally have dined at some of the most expensive restaurants even though at the time my salary could not afford it - why? For quality and expensive tastes can be scintillating and oh so addictive.

      So the question now is who has the low self esteem - you or the client?
      IM is not a high quality restaurant. IM is an industry full of high priced, low priced products.

      Services and products are two different things. Products have a product life cycle value, especially "IM" ones..go study the Product Life Cycle and then apply it in a Marketing context.
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      • Profile picture of the author Shana_Adam
        Originally Posted by Imran Naseem View Post

        IM is not a high quality restaurant. IM is an industry full of high priced, low priced products.

        Services and products are two different things. Products have a product life cycle value, especially "IM" ones..go study the Product Life Cycle and then apply it in a Marketing context.
        I suppose shoes are not a product then? Nope Gucci, Fendi and the gang better watch out then.

        Signature

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        • Profile picture of the author Imran Naseem
          Banned
          Originally Posted by Shana_Adam View Post

          I suppose shoes are not a product then? Nope Gucci, Fendi and the gang better watch out then.
          No but you totally went off the point, I think you are tired.
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      • Profile picture of the author Black Hat Cat
        Banned
        Originally Posted by Imran Naseem View Post

        IM is not a high quality restaurant. IM is an industry full of high priced, low priced products.
        So is the restaurant industry.
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  • Profile picture of the author travlinguy
    Daniel...
    My gut response to the title of this post was defensive. Then I read what you had to say and agreed for the most part. There have also been some strong 'alternative' ideas floated in this post as well. Big Mike makes a really good point essentially saying that certain low-price point items are an entry to the sales funnel.

    And if you can impress a customer with a lot of value for small money at first, you are building the trust necessary to make the higher price sale down the line.

    And there's also something about the whole self-esteem issue I find interesting. I remember how I felt when it was first suggested to me that most of my problems in life were related to a lack of self-love and self esteem. I was actually offended.

    But after looking closely at the whole thing, it's absolutely true. I think one of the problems in facing a lack of self-esteem is that we feel we've done something wrong or that our parents might have failed us in some way. But that's not the issue at all.

    In fact, the reason someone may have low self-esteem is almost irrelevant. The actual task at hand is to find out how to fix it and then get busy doing so.

    I've been a student of personal development for about 20 years. And did you know that it's almost impossible to sell self-esteem 'repair' courses or seminars.

    The reason is because it hits people with the same effect it had on me and many others. They simply won't admit there's a problem because having a lack of something implies that we're flawed.

    Smart people teaching self esteem wellness approach it with subtle references if any at first and play up the BENEFITS of having self esteem without mentioning what the real issue is, at least until they've got a paying customer's attention that is.

    Anyway, it looks like you've gotten a lot of attention with this post. I know it's one of the most thought provoking things I've read here in months. Thanks for bringing it up.
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  • Profile picture of the author Shana_Adam
    As I mentioned above if any one was reading.

    Who's low self esteem issues is it fulfilling you the product creator or the customer?

    Obviously the customer within context.

    If I need to purchase a Gucci bag for $500, Gucci is selling that to my most deepest emotional needs and wants. I will be admired, adored turn heads for my Guccci bag doesn't matter If I look like the local sewer.

    So long as I feel good the price to pay will make up for canning the Prozac.

    With IM products it appeals to a different emotional need - the need that says I want it quicker, easier and faster and also the dream that's sold by the wannabe Gurus driving in their rented Cadillacs for the day.

    Buy this and you too will be the big boy.

    We forgot the money issue though - completely dismiss the fact that the product did not work for you.
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  • Profile picture of the author simmonsmike7
    No one has really mentioned this so I will - don't forget what industry you're marketing to. Good luck selling a $100 product on growing tomatoes, you may try your luck at selling a $100 product on making money online - see the difference?
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  • Profile picture of the author Adam Carn
    In my opinion, firstly you NEED to have a killer product/service. If you do AND you KNOW (through research/testing) that it WILL benefit people then you CAN charge a GOOD price for it.

    If you do the above then it all depends on your sales copy on whether you can sell it for that price.

    Another thing I've personally felt is if you have a great product/service with tons of real cool features and offer it for a rediculously low price, your offer probably seems a bit fishy.

    Thanks,
    Adam
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    Taking a break...
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    • Profile picture of the author VegasVince
      Pimping $7 ebooks on "Why Bumble Bees Bumble" might be noble....but perception is reality.....and the road to poverty is paved with noble intentions.

      There is a reason why your local redneck road house will sell draft beers for a buck along with all the bar fights you can handle.....

      Conversely:

      There is a reason that in South Beach, Miami.....I once paid $17 friggin' bucks for the same draft beer.

      That's why one ounce of pure silver.....will sell for less then one ounce of sterling silver stamped with some designer jeweler like Tiffany Co....whose customers expect to pay top dollar for something with little intrinsic value.

      Perception is reality.

      A content rich, valuable product should reflect its value in terms of it's price...which better be high enough to justify the claims made...and it actually adds credibility to the offer.

      Some cheap, cheesy ebook re: How To Make A Million Dollars....that sells for $7 bucks.....doesn't exactly breed confidence in the eyes of the buyers...because the price alone indicates to most... that you the author have little confidence in your own system.

      Higher prices are expected, and justified when the information delivers what it promises.


      xxx Vegas Vince
      Legend.
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  • Profile picture of the author Phil Ayres
    Imran's point, I think that Frank succeeds because of his "brand". And, if you get into Mass Control, you understand why he is such a viable brand. Joe Blow can't wake up one day and say "hey, I am going to charge $1K because I am awesome." For some people it might be about self-esteem. But, I think that internet marketing is burdened with people who are trying to sell something when they don't know anything. And, frankly, most products aren't worth the $97 that they are selling at!
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  • Profile picture of the author Colin Palfrey
    Your basic perception of profit is fundamentally flawed.....Hugely!!!!

    This same stupidity has ruined Ireland where I'm currently living.
    If you don't make much money...Lower your bloody prices......this way you sell more.

    In England next door, "so to speak" they slashed prices hugely, and made so much money the economy is all but fixed.
    Here they raised the prices in panic, and effectively destroyed the country.

    Look at McDonald's: They make far more than expensive restaurants simply because 1% of billions is far better than 80% of bugger all.

    When you make something appealing - AND affordable you really make money.

    My 2c and sorry if I got carried away LOL
    Colin
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    • Profile picture of the author Daniel E Taylor
      Originally Posted by Colin Palfrey View Post

      Your basic perception of profit is fundamentally flawed.....Hugely!!!!

      This same stupidity has ruined Ireland where I'm currently living.
      If you don't make much money...Lower your bloody prices......this way you sell more.

      In England next door, "so to speak" they slashed prices hugely, and made so much money the economy is all but fixed.
      Here they raised the prices in panic, and effectively destroyed the country.

      Look at McDonald's: They make far more than expensive restaurants simply because 1% of billions is far better than 80% of bugger all.

      When you make something appealing - AND affordable you really make money.

      My 2c and sorry if I got carried away LOL
      Colin
      Your post doesn't even remotely make sense or have
      anything to do with this thread.

      Daniel
      Signature

      Self Actualization is one's true purpose. Everything
      else is an illusion.

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  • Profile picture of the author tryinhere
    A bit like saying why sell pencils on a street corner when you could sell homes in Beverly hills ?

    any yes i agree with the op raise the self esteem, many people sell pencils until they are shown how to sell pencil cases full of pencils, so it is a process of learning and growing.

    and yes selling one or a few sales at 1K is good, but nothing comes with the excitement of selling masses of sales at $20 or so and your total sales exceeds those few 1K sales

    so having the ability to sell higher is good but also do not forget the old story, small fish are sweet.
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  • Profile picture of the author John Romaine
    Thanks for posting this Daniel.

    Its only been in the last 4 months that Ive started thinking differently regarding this. The time invested to develop a $27 product as opposed to a $147 product is minimal. So Ive started thinking backwards, and asking myself "Okay, I want this product to be worth $147 all day -- how can I acheive this?"

    And it works.
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  • Profile picture of the author Kurt
    I think Daniel has some very solid points, although I disagree with the "self esteem" point.

    On the other hand, I know of a few folks out there that should follow "Get over yourself already, your crap isn't worth $1000"!
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  • Profile picture of the author Jenny5
    I agree.If you are making sales you should be able to make sales no matter what the price is.It's just you will be selling the product to a different customer target that can afford the higher prices.There are people that just won't buy things because it's too cheap.
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  • Profile picture of the author sbucciarel
    Banned
    Originally Posted by Daniel E Taylor View Post

    It's really no harder to sell a $200 product than a $30 product.
    It may not be harder to market them but it's much harder to create one that is actually worth it. I've seen few that were worth it and that includes the big shot launches.

    Actually, my Flip Ace product is worth more than the $27 WSO price and, no ... I do not suffer from low self-esteem, but I save my big ticket items for $300 - $16,000 websites rather than ebooks. The price of my ebook is based on what people are willing to afford in a bad economy and just simply having a site with continuing revenue makes that site far more valuable when I decide to sell it.

    The majority (vast majority) of info products are simply not worth much more than $47, if that much.
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    • Profile picture of the author Robert Puddy
      Originally Posted by sbucciarel View Post

      It may not be harder to market them but it's much harder to create one that is actually worth it. I've seen few that were worth it and that includes the big shot launches.

      Actually, my Flip Ace product is worth more than the $27 WSO price and, no ... I do not suffer from low self-esteem, but I save my big ticket items for $300 - $16,000 websites rather than ebooks. The price of my ebook is based on what people are willing to afford in a bad economy and just simply having a site with continuing revenue makes that site far more valuable when I decide to sell it.

      The majority (vast majority) of info products are simply not worth much more than $47, if that much.
      Every single one of them is worth more than $47 if put into action

      And this is part of the problem daniel was alluding too... No self esteem for the industry you have chosen to be in. Just doom and gloom bad vibes
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      • Profile picture of the author sbucciarel
        Banned
        Originally Posted by Robert Puddy View Post

        Every single one of them is worth more than $47 if put into action

        And this is part of the problem daniel was alluding too... No self esteem for the industry you have chosen to be in. Just doom and gloom bad vibes

        That simply isn't true. There are many ebooks out there that are pure garbage written by people whose only motive is to get as many bucks from unsuspecting newbies as they possibly can with as little effort as possible, and if you don't believe that, you haven't purchased enough ebooks.

        There are a lot of other factors that go into making a product that is worthy of a heftier price, such as ... how unique is the information? Is it something that isn't easily found through Google all over the Internet already? Are the testimonials real? Is the income proof real? How saturated or oversaturated is the technique? Is it already on the decline due to oversaturation?

        There are few who actually deliver a fresh, unique product that delivers on it's promises.
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        • Profile picture of the author Robert Puddy
          Originally Posted by sbucciarel View Post

          That simply isn't true. There are many ebooks out there that are pure garbage written by people whose only motive is to get as many bucks from unsuspecting newbies as they possibly can with as little effort as possible, and if you don't believe that, you haven't purchased enough ebooks.

          There are a lot of other factors that go into making a product that is worthy of a heftier price, such as ... how unique is the information? Is it something that isn't easily found through Google all over the Internet already? Are the testimonials real? Is the income proof real? How saturated or oversaturated is the technique? Is it already on the decline due to oversaturation?

          There are few who actually deliver a fresh, unique product that delivers on it's promises.
          None of those factors are relevant

          Unique to whoom, it only has to be unique the purchaser

          who cares if its easilly fiund through google... Most people would rather you did the research and dont mind paying you for it

          no such thing as over saturation with any technique, im still making money using techniques i was using 5 years agoa... basics work

          testimonials have no bearing on the product or the content, if your that jaded over testimonials discount them

          All these are walls and barriers your putting up to stop yourself...

          Here is a quote i put in another thread but its relevant here too
          "Rich people admire other successful people; poor people resent them. If you view wealthy people as bad..., you can never be rich..."
          If you dont believe in the business, your never going to get it right. if your negative and jaded its going to come out in your writing and ad copy. People will see right through everything you do if you dont instill confidence in what your doing.

          Its a catch 22 people doesnt matter what your words are but if your expression and sentiment is this sucks, thats going to spill over into your products and promotions and your mindset will be the thing that defeats you.

          Robert

          PS: Get positive
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          • Profile picture of the author sbucciarel
            Banned
            Originally Posted by Robert Puddy View Post

            None of those factors are relevant

            Unique to whoom, it only has to be unique the purchaser

            who cares if its easilly fiund through google... Most people would rather you did the research and dont mind paying you for it

            no such thing as over saturation with any technique, im still making money using techniques i was using 5 years agoa... basics work

            testimonials have no bearing on the product or the content, if your that jaded over testimonials discount them

            All these are walls and barriers your putting up to stop yourself...

            Here is a quote i put in another thread but its relevant here too


            If you dont believe in the business, your never going to get it right. if your negative and jaded its going to come out in your writing and ad copy. People will see right through everything you do if you dont instill confidence in what your doing.

            Its a catch 22 people doesnt matter what your words are but if your expression and sentiment is this sucks, thats going to spill over into your products and promotions and your mindset will be the thing that defeats you.

            Robert

            PS: Get positive


            They might not be relevant to you. They are relevant to me. Actually, all your assumptions are incorrect. I've been in business for myself for 10 years and am accused of overdelivering, rather than underdelivering. My commitment to quality does spill over into my products and promotions, so you are right about that. My mindset does not defeat me, as I am not defeated. I earn a nice full time living from what I do and have for 10 years.

            What you are saying is that most newbies don't realize that they're being duped, so it doesn't matter that they are.

            I am certainly not alone in my belief that Internet marketing has a very well deserved bad reputation due to all the outright lies and overpromising in sales pages and it's why I would not sell a "secret technique" ebook unless it really were a completely unique, proven technique that I wanted to share. That being said, if I did have a "secret" technique that was highly profitable to me, I would most likely keep it secret.
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          • Profile picture of the author robert key
            Hi Daniel,

            This is a very interesting post...

            I disagree with the mindset that one must promote a "high-ticket"
            item... even a product or service with the "magical $97 sticker
            price that so many IM'ers (Info Marketers) believe they must have
            in order to attain success, etc.

            Look at Google - they nickeled and dimed (via AdWords) their way
            to billions. Look at iTunes - they earned millions with simple
            $.99 sales so everyone doesn't have to have a $2k product like
            Frank Kern in order to make it.

            I read that "the biggest profits are created with the smallest sales"
            and Google and Apple's iTunes are perfect examples of that.

            I would rather follow Google and Apple's business model than run
            around worrying about following after Frank Kern and other
            Info-Marketers that sell $2k products, etc.

            Just my two cents...

            Robert
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            • Profile picture of the author Daniel E Taylor
              Originally Posted by keyz View Post

              Hi Daniel,

              This is a very interesting post...

              I disagree with the mindset that one must promote a "high-ticket"
              item... even a product or service with the "magical $97 sticker
              price that so many IM'ers (Info Marketers) believe they must have
              in order to attain success, etc.

              Look at Google - they nickeled and dimed (via AdWords) their way
              to billions. Look at iTunes - they earned millions with simple
              $.99 sales so everyone doesn't have to have a $2k product like
              Frank Kern in order to make it.

              I read that "the biggest profits are created with the smallest sales"
              and Google and Apple's iTunes are perfect examples of that.

              I would rather follow Google and Apple's business model than run
              around worrying about following after Frank Kern and other
              Info-Marketers that sell $2k products, etc.

              Just my two cents...

              Robert
              You're missing the point. Someone could start a massage parlor,
              a grocery store, etc...

              But obviously this post is geared towards info products/software
              businesses because that is most of us run. So trying to follow
              google's model would not be applicable.

              Why wouldn't you worry about following after Frank Kern, when
              he is a SUCCESSFUL INFO-MARKETER and most here want to
              be successful info marketers.

              Maybe I'm missing something.

              Daniel
              Signature

              Self Actualization is one's true purpose. Everything
              else is an illusion.

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              • Profile picture of the author TheRichJerksNet
                Originally Posted by Daniel E Taylor View Post

                You're missing the point. Someone could start a massage parlor,
                a grocery store, etc...

                But obviously this post is geared towards info products/software
                businesses because that is most of us run. So trying to follow
                google's model would not be applicable.

                Why wouldn't you worry about following after Frank Kern, when
                he is a SUCCESSFUL INFO-MARKETER and most here want to
                be successful info marketers.

                Maybe I'm missing something.

                Daniel
                When it comes to business there is a great deal you are missing. You do not need an expensive product and selling a product at the cost "you" decide has nothing to be with self esteem (as I have said 3 times now).

                You DO NOT have to follow anyone, matter fact I suggest you do not but instead create your own plan and goals based on yourself. Maybe frank kerns can make a billion dollars but you know what ??? Who cares - great for frank and no offense to frank is meant at all..

                My point is though just because frank does it does not mean it is for everyone. There are many many different ways to make money online and if you sell a product for $7 or $2,000 you can still meet the goals you set for yourself on your plan. You must set a plan and goals that you can reach because the fact is nobody knows you better than yourself.

                This reminds me of those marketers that claim you must have a list to do business online and make money. Oh please get a life, no you do not. A list is not for everybody and just because joe blow can make $1,000 a day on his list does not mean everyone else can.

                All of this boils down to several things and it has nothing at all to do with

                * following someone else
                * selling a high end product
                * selling low end means poor self esteem

                What is does have to do with is

                * Creating your own plan and setting your own goals and following that plan and reaching those goals that you set for "yourself"

                * Testing your market and learning as much as you can about your market. No ebook or guru can teach you this..

                * Pricing your products for what you choose to price them for. This is a personal choice and has nothing to do with what someone else does or how someone else does it.

                * Making decisions based upon your own testing and what you feel is best your "your" business or the goals you set for "yourself".

                James
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                • Profile picture of the author Daniel E Taylor
                  Originally Posted by TheRichJerksNet View Post

                  When it comes to business there is a great deal you are missing. You do not need an expensive product and selling a product at the cost "you" decide has nothing to be with self esteem (as I have said 3 times now).

                  You DO NOT have to follow anyone, matter fact I suggest you do not but instead create your own plan and goals based on yourself. Maybe frank kerns can make a billion dollars but you know what ??? Who cares - great for frank and no offense to frank is meant at all..

                  My point is though just because frank does it does not mean it is for everyone. There are many many different ways to make money online and if you sell a product for $7 or $2,000 you can still meet the goals you set for yourself on your plan. You must set a plan and goals that you can reach because the fact is nobody knows you better than yourself.

                  This reminds me of those marketers that claim you must have a list to do business online and make money. Oh please get a life, no you do not. A list is not for everybody and just because joe blow can make $1,000 a day on his list does not mean everyone else can.

                  All of this boils down to several things and it has nothing at all to do with

                  * following someone else
                  * selling a high end product
                  * selling low end means poor self esteem

                  What is does have to do with is

                  * Creating your own plan and setting your own goals and following that plan and reaching those goals that you set for "yourself"

                  * Testing your market and learning as much as you can about your market. No ebook or guru can teach you this..

                  * Pricing your products for what you choose to price them for. This is a personal choice and has nothing to do with what someone else does or how someone else does it.

                  * Making decisions based upon your own testing and what you feel is best your "your" business or the goals you set for "yourself".

                  James
                  Blah, Blah, Blah...

                  Successful people follow understand the importance of models.

                  You keep trying to say I don't know much about business.

                  Maybe you should do your research before you say nonsense like
                  that.

                  You're the one who has to peddle $9.00 get rich quick reports in
                  your sig to make money.

                  Daniel
                  Signature

                  Self Actualization is one's true purpose. Everything
                  else is an illusion.

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                  • Profile picture of the author TheRichJerksNet
                    Originally Posted by Daniel E Taylor View Post

                    Blah, Blah, Blah...

                    Successful people follow understand the importance of models.

                    "Make your own plan". How the hell can you make your own plan
                    when you don't know enough about marketing and business in the
                    first place.

                    You keep trying to "Hint" at I don't know much about business.

                    If you want to keep getting personal... At least do your research on me.

                    But that's why I run the biggest Music Production infoproduct
                    site on the web, and you're peddling 9.00 get rich quick IM reports.

                    I took a tshirt company from a kids moms garage and turned it
                    into a 6 figure company with media coverage and famous
                    music artists endorsing our clothing and perfoming in front
                    of thousands of fans in them. And promoting them at concerts.

                    All of that in 5 months.

                    I've had million dollar consulting clients, and clients all over the world.

                    All of this at age 22. So I think it's safe to say I know a bit about business.

                    So keep peddling your christmas packs.

                    Daniel
                    Daniel,
                    That is great for "you" does not mean it is for everybody. You can claim I peddle $9.00 products but the fact is 100% of that money has went to the food bank to help feed people. I certainly do not sale any get rich crap..

                    You started a thread by insulting people claiming they have low self esteem (you did not state that some people may) and then you insult people further by claiming they all want to be like some IM guru. Understand what you write before you write it..

                    I am not getting personal but pointing out the fact that you have stated your opinions as facts and you have insulted people. If you knew more about business then you would understand that you should not do either of these and try to mislead newbies into thinking they must have expensive products and they must follow someone to make money online.

                    Business is more than just about money and as far as success is concerned, this is determined by nobody but yourself. You are the only one that can define the term success for yourself. Money does not = success.

                    I will state it again so newbies do not misunderstand this entire thread...

                    * Test for yourself and do not listen to anyone else, who cares what kind of money they have made. Just because they did it does not mean you can.

                    * Setup your own goals and lay out your own plan. Again do not follow what someone else done because it does not mean you can do what they done.

                    * You do not need an expensive product to make money and money in noway means success. This depends upon your wants, needs, and goals in your own life. Some may want to be filthy rich while others just want to live in comfort and has no need to be filthy rich.

                    * There is nothing wrong with you selling a product for $10, $20, or whatever price you want. This is your choice and your right and has nothing at all to do with self esteem.

                    James
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                    • Profile picture of the author Daniel E Taylor
                      Originally Posted by TheRichJerksNet View Post

                      Daniel,
                      That is great for "you" does not mean it is for everybody. You can claim I peddle $9.00 products but the fact is 100% of that money has went to the food bank to help feed people. I certainly do not sale any get rich crap..

                      You started a thread by insulting people claiming they have low self esteem (you did not state that some people may) and then you insult people further by claiming they all want to be like some IM guru. Understand what you write before you write it..

                      I am not getting personal but pointing out the fact that you have stated your opinions as facts and you have insulted people. If you knew more about business then you would understand that you should not do either of these and try to mislead newbies into thinking they must have expensive products and they must follow someone to make money online.

                      Business is more than just about money and as far as success is concerned, this is determined by nobody but yourself. You are the only one that can define the term success for yourself. Money does not = success.

                      I will state it again so newbies do not misunderstand this entire thread...

                      * Test for yourself and do not listen to anyone else, who cares what kind of money they have made. Just because they did it does not mean you can.

                      * Setup your own goals and lay out your own plan. Again do not follow what someone else done because it does not mean you can do what they done.

                      * You do not need an expensive product to make money and money in noway means success. This depends upon your wants, needs, and goals in your own life. Some may want to be filthy rich while others just want to live in comfort and has no need to be filthy rich.

                      * There is nothing wrong with you selling a product for $10, $20, or whatever price you want. This is your choice and your right and has nothing at all to do with self esteem.

                      James
                      It's safe to say you lack the mental capacity to understand
                      beyond your ignorance.

                      I don't see how many people who are respectable marketers have
                      came into this thread and understood this and you can't...

                      Maybe that's why they are successful. Because they have the
                      ability to comprehend.

                      *Shrugs*

                      Daniel
                      Signature

                      Self Actualization is one's true purpose. Everything
                      else is an illusion.

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                      • Profile picture of the author TheRichJerksNet
                        Originally Posted by Daniel E Taylor View Post

                        It's safe to say you lack the mental capacity to understand
                        beyond your ignorance.

                        I don't see how many people who are respectable marketers have
                        came into this thread and understood this and you can't...

                        Maybe that's why they are successful. Because they have the
                        ability to comprehend.

                        *Shrugs*

                        Daniel
                        I can comprehend enough to know how to be debt free and run my business for well over 15+ years.. Success again is determined by ones own mind.

                        I guess from those that disagree with you they have a comprehension problem.. I just hope newbies do not fall for the crap and they actually do go do their own research, testing, business planning, and etc...

                        Edited to add: editing your own post as you have proves some of my points, and it will cost you respect as others have pointed out before on other threads.

                        James
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                        • Profile picture of the author Ashley Gable
                          I think maybe the op just worded it a little incorrectly. As i said I disagree with the self esteem idea. But of course if you are selling yourself short, then you are not maxamizing your potential.

                          I think it just boils down to selling what your product is worth. The idea that people are getting from your original post is that unless you are selling a $97 product, then you are not a confident person.

                          Which of course is extremely untrue.

                          I hope to one day offer a $97 product for sure, in fact I plan to launch a non-IM course in january next year that will either be $97 or $127. But only because I developed a course that deserved that price. Up until now I didnt have a product that deserved it.


                          Just an oversimplification of a idea is what you wrote. But I agree with one of the other posters, this is a great thead, gets you thinking ... "how can I offer more help, more service, more info in order to charge a higher price that is justified".
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                          • Profile picture of the author Ken Leatherman
                            Originally Posted by Daniel Brock View Post

                            Daniel,

                            Thanks for the post - really has got me thinking differently.

                            -Dan
                            Originally Posted by travlinguy View Post

                            Daniel...
                            My gut response to the title of this post was defensive. Then I read what you had to say and agreed for the most part. There have also been some strong 'alternative' ideas floated in this post as well. Big Mike makes a really good point essentially saying that certain low-price point items are an entry to the sales funnel.

                            Anyway, it looks like you've gotten a lot of attention with this post. I know it's one of the most thought provoking things I've read here in months. Thanks for bringing it up.
                            This has indeed been a thought provoking thread and I have enjoyed reading the thread from start to just before I posted this response.

                            However, RichJerksNet and Daniel E. Taylor, you two gentlemen need to step back and cool your blazing guns at each other. Please don't ruin this thread and get it removed or locked because of your personal attacks on each other.

                            I suspect there are some folks that may well have a problem with their self esteem which may contribute to their lack of success, regardless of what they are trying to do. It is a fact of life for them and they are the ones who must make the decision to change their life.

                            However Daniel just because I chose a business plan to market a low price service, does not mean that it has one single thing to do with my self esteem. It simply means I made a decision to market to the "Discount Customers". However there is a method to my madness and it works very well in my sales funnel.

                            Now I do agree that marketing a higher dollar product is one part of my business that I havn't done. But I have now reached the point in my business plan; that I will be doing that very thing. And many of the post in this thread have pointed out many positive things to do to make it successful. Thanks for the great reminders folks.

                            RichJerksNet said: I just hope newbies do not fall for the crap and they actually do go do their own research, testing, business planning, and etc...
                            RichJerksNet you make a very valid point that every business person should do, prior to marketing "discount" are going for the "high dollar". Without proper planning, with "High Self Esteem" or "Low Self Esteem", any endeavor is doomed to failure or at least a very negliable ROI.

                            Now let me make this perfectly clear this is my not so humble opinion and just a little bit of Geezerology. :p

                            Ken Leatherman

                            The Old Geezer
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            • Profile picture of the author Lance K
              Originally Posted by keyz View Post

              Look at Google - they nickeled and dimed (via AdWords) their way
              to billions. Look at iTunes - they earned millions with simple
              $.99 sales so everyone doesn't have to have a $2k product like
              Frank Kern in order to make it.

              I read that "the biggest profits are created with the smallest sales"
              and Google and Apple's iTunes are perfect examples of that.
              Google and iTunes couldn't have made billions if their customers only bought one ad or one song. Their billions are made on repeat customers. Their lifetime value of a customer certainly is not $0.10 or $0.99. It's much more.

              If you sell someone a $7 report/ebook, you can't very well sell them the same one again. Of course you can sell them other related reports/ebooks. But at some point you would be wise to package them together and try to sell a bundle at a higher price point. Or to even put a more comprehensive program together and charge more. Ever notice how Apple sells iTunes gift cards, iPods for hundreds of $ so that people can listen to their $0.99 songs, etc.?

              To build a sustainable business in a high volume, low margin setting you must have repeat customers. Therefore, you need to have a consumable product or a range of products. And if you're going to have a range of products, you might as well have some at higher price points. There ARE people looking to buy at higher price points. If YOU don't have options for them, they WILL buy from SOMEONE ELSE.
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  • Profile picture of the author xlfutur1
    Interesting post going here. I have purchased $197 software products that are totally obselete now (remember directory generator?). The gurus sell high ticket items but usually those are the result of a funnel of people who purchased smaller ticket items over a period of time, then a small percentage end up purchasing the high ticket stuff. Would be pretty tough for a no name to come out and start promoting a $2000 product.

    I like the membership model where you are actually selling a high ticket item, but spacing it out over time. I have had one membership site that is into its 3rd year, with very little attrition. At $9.95 per month, that is like selling a $120 product every year to the same people.
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  • Profile picture of the author trilogy09
    Yea i have to agree with some of the other posts here, while selling a higher priced product has a better return and makes sense mathematically, it doesn't guarantee you will even make enough sales to make that math work. It depends on your niche and marketing ability as well as the demand for the product. I like the idea, but you must be able to make it work for you. I actually find it better to sell products that have lower initial effect ($10-$70) but where you get recurring monthly sales if the individual keeps the product/stays a member of a program etc. This will allow you to outlaw the fact that you make less initially and combine more and more sales every month the person is a member. As long as you do your research and check the products membership average lasting rank you could very well make a small fortune here.
    Hope This Helps
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  • Profile picture of the author quiescen
    Interesting thread. I've been thinking of raising my membership site rates for a while now. Even emailed my list to tell them about it. But I wimped out thinking I'd lose money.

    What I do is really one of a kind and I know people will pay for it but I wouldn't say low self-esteem is holding me back. Just fear plain and simple.
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  • Profile picture of the author JayPeete
    I have to say that it all comes down to value, value, value...

    What is your product really worth, really? Is it the marketing that is selling your product(s) or is the product truly worth what you are selling it for?

    I guess that is what every business has to evaluate correctly if it is to thrive in any economy.
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  • Profile picture of the author ttwee
    There is actually no right or wrong to both views, whether it is better to sell a product of value at a higher price or lower price. I think for newcomers to selling products, they would feel more comfortable charging them at a lower price as they lack reputation and experience. When they become more successful in selling these lower priced products, they can then create the next versions of their products which adds more value and they will have more confidence charging a higher price.
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  • Profile picture of the author Zanti
    Just some thoughts of mine:

    Pricing is based on the customer's perceived value, not what you think your product/service's perceived value is. Many marketers overprice their products/services based on what their own perceived value is.

    Regardless of the pricing structure you use, the key thing to keep in mind is: What are your objectives. Are you trying to build a list? Obtain entry into a new market? Looking for maximum profits over cost? Introducing a new product/service?

    Your pricing should reflect your objectives, cover your cost and be based on testing.

    Z

    Brian "Zanti" Alexzander
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  • Profile picture of the author actionplanbiz
    I agree to OP's post.

    just as long as that product / services is worth its cost, then there shouldnt be a difference in conversions
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  • Profile picture of the author Steve Powers
    Well,good article.The fact is I'm occupied in web hosting,and the price of our hosting is not high.According to your article,we should try to raise the price.But have you considered the competition?If we can't take advantage of Godaddy or Bluehost or ... Then how can we raise the price?I'm afraid if we raise our hosting,our potential customers will lose and the number of orders will decrease.I think the most important is your quality and brand.With these things,your price can be high.
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  • Profile picture of the author scrofford
    Originally Posted by Daniel E Taylor View Post

    This thread may ruffle a few feathers. But I speak not just
    from judging others but from my OWN personal experience,
    and journey with IM.

    This isn't a 100% of the time thing, there are exceptions
    to this, but honestly very few.

    If you have dreams of being the next frank kern, or doing
    over 100k per year and you are struggling to get there
    it's probably because you don't put value on your knowledge
    and products.

    And that comes from having low self esteem and low self worth
    which 99% of the population suffer from. So it's nothing embarrassing.

    At some point you have to realize that selling $37 products only
    is going to take massive amounts of sales day end and day out
    to reach 6 figures and beyond.

    That's why I think it's important you have at least a $97 product
    and a $197 product.

    I mean why wouldn't you. It just makes sense mathematically.

    3 sales at $100 = $300
    2 sales at $200 = $400

    So with 5 sales per day you could already be making $700.

    It would take 20 sales at $30 just to make $600.

    Most of the time we allow our mind to lie to us so we don't
    face reality.

    Your mind will say stupid things like "People can't afford it at that price",
    "It's going to be harder to sell", etc...

    Coming from someone who sells those products I will say this.

    It's really no harder to sell a $200 product than a $30 product.

    The difference is you will get more sales at $30, maybe even double,
    but the few sales you get at $200 add up really fast.

    If you look deep inside your self it's just your self esteem. You don't
    believe you are worth that much money. It's because that's how
    we are programmed to think in this society we live in.

    I will say this. If you have a product that actually gets results and
    SOLVES someone PROBLEM they will pay anything.

    And trust me they have the money. People find a way to afford
    something they want.

    It really changed my life when I went back to the ghetto and
    finally realized something.

    Everyone has freakin Iphones and Blackberrys.

    People spend $400 on freakin phones. Something that will give them
    0 ROI. And they FIND a way to afford it.

    So if you have a PRODUCT that actually gives tangible results
    it's well worth $200.

    Then you need to get into selling $1000+ items to really
    boosts your income.

    Notice all the guru millionaires you want to be like all have
    high ticket items. There is a reason for that. DUH!

    It all comes down to your self esteem. Raise that and
    your life will change dramatically.

    Daniel
    I am glad that you think this for yourself, but really it depends on the niche you are in also...hhhmmmmmm did ya think about that one? Some markets DON"T support prices for products like that. Now for the make money online niche...yes products support those prices. Even then though, just because someone isn't selling a product higher than $37 doesn't mean their self esteem is low. It could mean they are still learning at that level.
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  • Profile picture of the author ikan_sith
    I am a newbie setting up several wordpress blogs for affiliate marketing. most of the things i am promoting are for less than $100.00usd. however one item does pay $300.00usd in commision( 65%.) it is a product tht i believe in and thought that it was a unique item. thanks for this post because i was about to delete tht idea as being to expensive in this economy.
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  • Profile picture of the author TheProdigy
    I've seen 30 page ebooks selling for 197.

    If you can't sell your product at higher than 97, it's time to rethink if you want to do this for a living.
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    • Profile picture of the author scrofford
      Originally Posted by TheProdigy View Post

      I've seen 30 page ebooks selling for 197.

      If you can't sell your product at higher than 97, it's time to rethink if you want to do this for a living.
      I will say it again...IT DEPENDS ON THE NICHE YOU ARE IN! Make money online isn't the only niche and some niches support a lot lower prices for products. My other niche does as a matter of fact.

      You can have multiple streams of income (ie lower paying products in multiple niches or many different products for sale in the same niche.) At the end of the day, if it all adds up to a good income then what's the problem?

      I think you should rethink your statement!
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  • Profile picture of the author ryanstreet
    I believe that trust is the true tool.

    Frank Kern did not become rich selling $1000 products, he sold parrot books for around $30 to $50. That isn't a big price.

    But he gained trust, proved himself, and was revered highly.

    I think the true key is to not settle. Start small, but definitely keep raising your price.

    Persuasion 101 states that if you can get a commitment for a very small amount from someone, you can easily get a large amount with little resistance afterward.

    Great thread BTW. Great advice and a lot of good insights, including the OP.
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  • Profile picture of the author paulie888
    It is true that if you drastically underprice the product at $27 or less, you may get a lot of whiners and complainers that would not exist had you sold the very same thing for $100 or more (assuming that your product is worth the price). It's funny how the mentality of people changes with the price point. I've found that when you have more 'skin' in the game from paying a higher price, you tend to shut up and actually implement something, instead of just complaining or doing nothing.
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  • Profile picture of the author AgencyScripts
    "Don't just focus on the WHAT... focus on the WHO...
    de-link the product to the price of the product... "

    - Dan Kennedy


    (quote from 2:15 to 3:32)
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  • Profile picture of the author Colin Theriot
    I think it's not so much got to do with self esteem. The real focus of the OP's post IMHO should be "Do what you have to do to be able to produce a $97 and a $197 price-point product."

    Whether your ideas are super-hott and you're undercharging because of low self-esteem, or you aren't good enough at producing products to make something WORTH that amount is irrelevant.

    If you want to be a solo-preneur (I hate that word, but have to say it a lot) then you need to be able to charge a lot per transaction, or else be able to manage a massive amount of sales. If you want to remain solo, that can get hard to manage.

    Low self esteem is just one of many things that keep otherwise capable people from making products or delivering services worth those prices in value delivered.

    There are many others. But they should all be gotten over, and the person wanting to do as Daniel mentioned, follow in the footsteps of Kern, et. al. - the focus should always be on the high-ticket and backend stuff. Work on that first, and then make smaller products to CREATE more customers for the big thing. But get a big thing ASAP, even if it's a service.

    If you have a cheap how-to book, put a $97 one or two hour coaching call offer IN the book. That's all it takes. Try it.
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    • Profile picture of the author Ram
      (Discalimer: This applies to informarketing. Not to Wal-Mart, Marks and Sparks, iTunes or other extremely well capitalized, extremely high volume retailers. I'm talking about people working alone or with a small group of employees selling their own information products.)


      You might also look at who you are targeting.

      Does your marketing funnel snare people without much cash? People who want it done for them and can't pay? People who buy a cheap ebook and scream "fraud" when they don't even read it?

      Sell a lot of cheap stuff and you will.

      In our main market, the entry level is $997. That's a 178 page ebook - or it was. It's now a "manual" because it is printed out and in a binder.

      It goes up from there. Way up.

      You can position the entry into your funnel at any point you choose - provided you target the right prospects within a market.

      The $7 to $27 to $97 to $197 and so on model is no different from the same model with a zero or two added to the end of every single one of those figures. It's just a matter of targeting the prospects who are used to paying those prices and are willing to do so.

      Yes, you can do it in the "make money online" niche. We do.

      I won't comment on the self-esteem stuff. Your psyche is your business. But I agree with Daniel on most of his post. All this stuff about a bad economy, customers annoyed by all these high priced products, the market won't pay that high a price, you can find the info free on Google, etc., is just crap. It's self limiting. None of that matters if you target a market with money that wants what you have to offer.

      And the product does not have to be exceptional. All it has to do is give the buyer what he wants. Hell, I can take a few PLR ebooks, create a new product and sell it for $497 or more. I've done it more than once. And had happy customers. Because the product gave them the info they needed. Everyone on the this forum might already know the info, but they didn't. And that's worth a lot. Even if some of you are so blind you can't see that.

      BTW, you might want to consider that the IM market is NOT limited to those who look at the Warrior Forum, those already on someone else's list and those who don't have a pot to piss in. The market is not limited to those with little money and less sense.

      You can catch guppies or whales. Choose where you fish.
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  • Profile picture of the author Troy_Phillips
    First of all I give a lot of stuff away for an email address.

    Sell $7 products

    Sell a physical product that I have absolutely no money in and less than $5 shipping to the lower 48 for $300 and sell at least one of these a week .

    Am an affiliate for a $1200 sports related camp that pays 50% and during season have sold 20 in a day . This sale comes from entering the funnel at the free level, at least 4 months of content with no pitches whatsoever . I use no sales page , no testimonials or screen shots .

    Several other non-Im related ventures are sprinkled in also .

    The $7 product doesn't lower my self esteem.

    The $600 commission on the camp does not inflate my ego but if I didn't know my stuff and show high self esteem (or maybe it would be self confidence )to my members , I would never make the sale .

    I wouldn't even start to declare I have the perfect business model. I have been known to waste hours on the Warrior Forum.

    My model consist of free items and several different price points throughout different funnels . My portfolio, so to speak, contains my own info products , physical products and affiliate products , as well as some continuity ventures .

    I realized early in the game that seven dollar items would need to be sold in droves to maintain the lifestyle I envision for my family . Several different price points and products in different niches seems wiser to me .

    The funny thing is ... the freebies I give away end up consuming more of my support time than any other aspect of my business and those niches that have nothing to do with making money from home .... very seldom require any support at all.

    Though I teeter on the edge of getting off topic throughout my ramblings , from a profit with less support view, I agree with the op.

    I am in disagreement with the connection of price range and self esteem. Most newbies just do not understand there is a world of possibilities concerning money online and have no idea how to incorporate different models , price points, products, and niches , into one profitable package .

    Could be that those filled with self esteem, offering instant riches and magic pills, Have filled their heads with false hope and tunnel vision trained on only one aspect .
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