How do you set your pricing and how did it fare

All I can say is OUCH!!!

Can I rewrite your rules slightly?

1. Check the market first for current prices.
2. Compare quality and make sure my product is the highest quality available.
3. Set my price higher than the competition.
4. Test my price with split testing. One price much higher than competition, one a little higher, one equal, and one just under their price. (The winner is unlikely to be the lowest.)
5. Have promotional offers which add value and maintain your existing price.
6. Send follow-up offers adding even more value to clients.

An ideal promotion is not necessarily a "lower price" sometimes it is a warning about an impending "price increase", of course then you need to follow through with the increase.

Hi Fated82,

First thing I look at is what price I have to sell an item for in order to make an income.

That applies to things that I have brought the right to resell or actual physical products.

Once I know how much I need to sell it for, I look at what my competition is selling it for to get a gauge at what the market will allow.

I will then set two price points: one higher price point which I feel is the most expensive the market will allow me to sell it for, and a less aggressive price point which is what I’m willing to settle for if the first price does not sell well.

If I am selling something that I created or making 100% income on, then my pricing will generally tend to be less aggressive.

I will shoot to make money through bulk sales rather than huge single sales.

At the end of the day 50 percent of my decision is based on what I feel the market will accept, 30 percent is based on how valuable I feel the product is, and 20 percent is based on how aggressive I feel I should be.

I’ve been using that formula for some time now, and it has worked great for all of my niches.