What are your products really worth?

16 replies
There is a common trend among most internet marketers when it comes to how much they price their products. If you go out and look at what is offered from about 95% of Warriors, you will see products in the range from $7 to $47. But, how much do you really feel your product is worth?

I felt like most of you. I put my heart and soul into some products and thought it was worth way more then the $17 I was charging. I didn't want to come across the market as too expensive and drop conversions so I didn't charge the full price I wish I could have.

I like to pay attention to those that are more successful then me in my markets so that I can learn from what's already been done. What I started to notice was the difference between 6 figure internet marketers and 7 figure internet marketers. I am a 6 figure marketer and want to be a 7 figure one. It all comes down to the price tag they put on their items.

All the big names, John Reese, Jeff Walker, Frank Kern, etc, they sell products that are $1k+. Of course, if you sell only a handful of these products, you're going to make a large sum of money. Does their product really have $950 worth of more information then the $47 ebook that a well known warrior member is selling? Nope. I've read the best $47 ebooks and also gotten a chance to check out some of the big price items as well. Both offer equal the amount of help in your journey.

The difference is when you sell a product for 1-2k, people start talking about you. Your name is going to grow much quicker with a high ticket item (that works of course). Word spreads when there is a "new guru" in town. You can grow your guru status much quicker by pricing your items higher.

I know a lot of you probably don't think you have the knowledge to put together something you feel is worth $1k+. Honestly, I'm there with you. But, I do know that all of you that have put out a decent $47 is worth more then the measely $47.

Here's an example from this past month that has changed my whole game plan on pricing.

For the past couple months, I have been 100% focusing on developing automated sales funnels in niche markets. The sites are 30-100 pages of articles, videos, podcasts, etc. I get them ranking on search engines and put out a crap ton of contributed content so that I have the automatic traffic coming. I direct that traffic to an autoresponder which has about 6 months of preloaded emails that sell a product I created.

I have successfully built 5 of these in the past months. Once you get a system it's cake to do this stuff. Anyways, one of my first automated websites I created is a market I'm really not interested in being a part of anymore. I would like to move on to bigger and better things. Instead of just letting it die off and not taking care of it anymore, I decided I was going to flip it a month ago.

I was selling my product for $47 dollars in this niche. I did my numbers on how much I would charge to sell the site and product. On average over the past couple months, the site makes 2 sales a day. So I was going to get a nice chunk of change for this site. A couple years of living expenses.

But, I knew that this product package was worth way more then $47 dollars. It was 3 ebooks I wrote, a video course, and 15 podcast interviews with experts in the market. Since I planned on selling it anyways, I wanted to see if raising the price would make any big dents in my sales. So, for the past month I raised the price to where I thought it should be...$197. Big leap. I know. I know it was worth that much though. This product has helped lots of people in the short time I've had it up.

Low and behold, I have still averaged 2 sales a day since I raised that price. I've even had my biggest sales day in this past month. One day selling 6.

So the lesson I learned from this month is sell your product for what you believe it is truely worth. It's not going to matter as long as you offer the guidance that your audience is looking for. They just want help and in a lot of markets, there isn't a price tag on that guidance.

I sold this website this morning for more money then I've made my entire life so far. That's only because I quadrupled the price of my product.

So, you want to be a guru in your market...start acting like one. Sell high ticket items.

Travis
#products #worth
  • Profile picture of the author Louise Green
    The value is really in how the products are used..

    If you buy a $2000 product and never use it, it's worthless.

    If you buy a $17, use it and make $1000 from it, that's priceless.
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  • Profile picture of the author ozduc
    Originally Posted by petelta View Post

    So the lesson I learned from this month is sell your product for what you believe it is truely worth.

    Travis

    Hi Travis, congratulations on your sale and thanks for sharing a great story.
    I would like to point out that along with the lesson you learned about pricing your product, I think the bigger lesson here is to split test. if you had done this when you first started selling the product just think how much more money you would have made in all the time you owned the site.
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  • Profile picture of the author 4freedom
    True enough... often the price barrier is in the mind of the marketer not the consumer.

    Years ago we offered a SEO service for real estate agents and brokers and charged a monthly fee of $97. It consisted of constructing adsense ads and spending 1/3 of the price charged. Later we did a JV with a guy who promoted the SAME SERVICE for a one-time set up fee of $5,000 and a monthly fee in the hundreds above the advertising spend.
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  • Profile picture of the author fasteasysuccess
    Pricing of your product of service is all about positioning and providing maximum value. Positioning can even be packaging. If you package something right and let people know the phenomenal value and it's an investment not a purchase, the skys the limit.

    Like for example my seo services are very very reasonable and one time investment which is not the industry standard. Because I have that down to a science and instead of overcharging every customer now not only mostly will use my services right away and then they tell other people. So now that clients a lot more.

    Now on my marketing consulting and copywriting I let people know that If there looking for some cheap consultant and copywriter I'm not the the guy, but if you want to invest the money and someone to bring the best return on investment, provide proven results and then go on to talk about the value I'm bringing them for investing with me remember not buying from me.

    The bonus is that the people that used my seo services already know I overdeliver and provide max value as well so they also move into my other services. So now that client can be worth more and now the lcv lifetime customer value becomes way greater and I didn't spend any money to bring that client to me.

    Keep testing and see what kind of value you can add to increase the price as well.
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  • Profile picture of the author Kevin_Hutto
    Travis,
    Where did you sell the site? I have 2 sites like that -- that I will need to get at least 20k apiece for... but Im just not interested in them anymore.
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    • Profile picture of the author petelta
      Originally Posted by Kevin_Hutto View Post

      Travis,
      Where did you sell the site? I have 2 sites like that -- that I will need to get at least 20k apiece for... but Im just not interested in them anymore.
      Flippa is where I made the contact on a site I sold a while back. We have been talking in the past about upcoming projects that I have for sale and this one caught his eye.
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  • Profile picture of the author Dennis Gaskill
    Great post, Travis. It's a good lesson in perception. The only problem I see with pricing your product at what you really think it is worth is that a lot of people would probably price it too low. I'm of the opinion that an awful lot of people suffer from low self-worth. They see a confident marketer and feel they don't know as much, or can't offer as much, and so they automatically assume their own products aren't worth as much.

    There are also several fears that come into play for many, and they all go back to a low sense of self-worth. Fear of failure, fear of success, fear of being exposed as a fraud or a rip-off artist...I think this is why Jim Rohn said, "To have more than you've got, become more than you are."

    Most people skip that part, or don't realize the value of honest introspection and personal evolution. I think it's also why most people never stray too far from their parents success level. They were imprinted with their parents thinking and habits, and those are the thoughts they draw from later in life.

    Price your products according to what you really think they are worth? Absolutely! I think you're wise to test that price, and even higher and lower price points. After all, it's the marketplace that will determine what the optimum price point should be. If we do that, and keep improving ourselves, we'll be well on our way to achieving the level of success we desire.

    Success, like water, is a self-leveling medium. In the long run, we can't wish it or trick it into giving us more than is due us.

    Again, great post, Travis. Good food for thought. Thanks.
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  • Profile picture of the author Skribblez
    Inspiring post - thanks for sharing this with us!
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  • Profile picture of the author RentItNow
    Travis, this really is one of the most valuable posts I've seen on this forum. Knowing your value and not being afraid to ask for what you are worth. Guess it comes with experience.

    I'm changing one of my products to be a business opportunity (teach people how to start a rental agent business instead of DIY renting). One guy had started a business like this after reading my $47 ebook which he gladly paid. I got an email from him and he said his business is doing WAY BEYOND his expectations and would have spent a ton more money if I gave him the low-down on creating this business. He said it would have been easier than making the same mistakes I already made.

    So I am now considering adding just a few more bits of content and charging in the $500 to $1K range for a BIAB (business in a box). I think there is a much hungrier market for this (however small it maybe).

    So thanks for the push, travis.
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    I have no agenda but to help those in the same situation. This I feel will pay the bills.
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    • Profile picture of the author petelta
      Originally Posted by RentItNow View Post

      Travis, this really is one of the most valuable posts I've seen on this forum. Knowing your value and not being afraid to ask for what you are worth. Guess it comes with experience.

      I'm changing one of my products to be a business opportunity (teach people how to start a rental agent business instead of DIY renting). One guy had started a business like this after reading my $47 ebook which he gladly paid. I got an email from him and he said his business is doing WAY BEYOND his expectations and would have spent a ton more money if I gave him the low-down on creating this business. He said it would have been easier than making the same mistakes I already made.

      So I am now considering adding just a few more bits of content and charging in the $500 to $1K range for a BIAB (business in a box). I think there is a much hungrier market for this (however small it maybe).

      So thanks for the push, travis.
      Awesome! A lot of the time only adding a small amount of content could double the worth of your product.

      Like you said, the buyers are paying to learn from your mistakes. This is especially the case when you are selling a product that shows someone how to make money or become successful.

      I know that my mistakes from the past 2 years are worth way more then $47.
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  • Profile picture of the author Kevin_Hutto
    Travis,
    Werent you one of the ones who won that contest a while back? Got a bunch of stuff from different warriors...
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    • Profile picture of the author xiaophil
      Great post, thanks Travis.

      I really liked your blog too, a real positive vibe there.

      Let me know when you start doing seminars!
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    • Profile picture of the author petelta
      Originally Posted by Kevin_Hutto View Post

      Travis,
      Werent you one of the ones who won that contest a while back? Got a bunch of stuff from different warriors...
      I sure am. Right before I won the contest, I had created my system to create automated sales funnels. At the time, I had planned it to take me 6 months to get a site up and going well. Because I won the WF contest, I was able to fast track that process majorly.

      The only reason I even posted to that contest was because I couldn't afford the hosting to start a new site on my business plan. Now, I have created 6 successful sales funnels and jumped head first into the offline market. I seriously made more money this morning then I have my entire life combined.

      So for all you newcomers to the Warrior Forum...pay attention and learn what you can. I knew before I even entered the contest that I was going to be successful at this. I just didn't realize it could of been so quick.
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  • Profile picture of the author WD Mino
    Hi Travis,

    Very good I am glad to see the advancement you have made keep it up.

    My 02 is this. The product is worth what the customers are willing to pay. I have made sales at 2k and I have made sales at 7.00 it all depends on the current market prices for the items, pricing too high drives a lot away pricing too low does the same research is required I learned the hard way
    -WD
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    • Profile picture of the author petelta
      You're totally right WD. It does highly depend on the market you are involved with. If the market has any potential to make others money, you're going to be able to ask for a higher price.

      I also think you should have a range of product prices. I have products ranging from $7 - $300 now. I feel if you get value from my $7 products, I know I can show you the value in my $300 product though.

      I am also involved in lots of markets these days so I'm getting a crash course on pricing pretty quickly haha.


      Originally Posted by WD Mino View Post

      Hi Travis,

      Very good I am glad to see the advancement you have made keep it up.

      My 02 is this. The product is worth what the customers are willing to pay. I have made sales at 2k and I have made sales at 7.00 it all depends on the current market prices for the items, pricing too high drives a lot away pricing too low does the same research is required I learned the hard way
      -WD
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  • Profile picture of the author WD Mino
    Go Get Em Travis

    Best of success in what you do I am so glad your excelling

    That is the way to do it multiple streams man keep er goin
    -WD
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