Rise Of The High End Products

The 2K products convert about five times more than cheap stuff.

It amazes me how these big products carry such a perceived "high value" because of the price tag. After having a look at some of these high ticket items, I was downright shocked. I've seen free ebooks better in value!

I'm not saying this is the case with everything, but you better make darn sure the product is worth it before you plump down that cash!

Matt

Generally the only guys who sell the high ticket items are the ones who have given a ton of value beforehand.

They move the free line and give people tons of value in free stuff, and then because they have created so much value and are awesome in the eyes of their subscribers, they are able to sell products normally priced at $100 for $500, and those normally priced at $500 for $2000

Something to learn for everyone there

Good one myob...

Some people say the real money is in the high ticket items.

Others make a mint killing at $.01 x trillions.

What a product is worth to me is what I can get from it in terms of ROI. If someone thinks in terms of ROI then cost doesn't matter so much if it delivers as expected.

PS- $2k is often less than one semester of college.

PSS- good point above- high price doesn't automatically mean value.

Hi Misako,

I think that people naturally associate high price to
high value... it's just the way that we've been
socially programmed and structured, in my opinion.

Especially since I just managed to get a copy of
Robert Cialdini's "Influence" from the local library,
I'm learning a lot more about how IM gurus are
doing their business.

Like what TimRobinson stated, moving the free
line (from Eban Pagan, I believe) is another method
to increasing sales.

Frank Kern uses the Law of Reciprocity to great
effect.

Asher

Hi Misako,

I've never bought a $1000-$2000 product, but we can expect a very good conversion rate here, because:

1. The gurus hire professional marketers.
2. The packages are very well planned and structured.
3. The content might be of far better quality than the cheap stuf.
4. The gurus give a big perceived value to the products.
5. Usually the launch is veeery powerful - with a massive marketing campaign.
6. The have huge e-mail list to work with.
7. Due to the high price tag, they are able to invest more in advertising and marketing...
8. They can easy get armies of affiliates and superaffiliates.

I think it is very nice to launch a high priced product. You can become a millionaire overnight - literally! ))

vvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvvv

In terms of conversion, I have no idea, but it does look
to me that they get sold quite fast.

After all, there's a general "You get what you pay for"
sentiment amongst consumers.

Given that these high ticket products are branded well
(eg. Arbitrage Conspiracy getting all these top names
and credible sources promoting it at the same time) and
creates an adequate perception of value, there will be
more than enough people who will willingly invest that amount.

It's all about how you market it. If you look at luxury
brands like LV, Gucci etc., you're really paying for the
perceived value created in the brand name, and the not
the value in the practical use of these items.

Okay, maybe not the best example, but point is ...
it's quite reasonable to launch IM product with price tags
within the 4 digit range, IF the price can be sufficiently
justified by the amount of value it delivers.

When you look at it...

IM products are really a form of education.

And we'd agree that any type of education is valued highly
in most people's eyes.

(I once did a 2-day real life design course that cost close
to 1 grand, and that was cheap. )

Bottom line is ... as long as the marketing can justify the position
of the product, so that customers have reason to believe that their
investment can be made back after going through the program,
there's no price that's too high for a product.

(When you look at it from a business point of view, it's making the
purchase decision by assessing the potential ROI)

If you absolutely knew you were delivering $20,000 of value to your customer, how would you feel if you charged them $2,000?

-JasonKing

Misako, How are you? Seeing you after a Long time...

I just made this post...

http://www.warriorforum.com/main-int...-products.html

There are endless number of reasons why someone pays a handsome amount of money online and offline. The products that you are referring to are no different.

-Lakshay

If you don't have some sort of big-ticket back-end
in your own business I recommend you get one... preferably
something that doesn't just funnel your customers onto
a guru's list... which means you should get a coaching
or mentoring program going, buy product licenses,
etc... so you can keep your customers in your own
corral.

You could object and say "it's just easier to promote
the guru launches as they come along"... and do you
think the guys doing the launches don't want you to
think this way? I'm not saying it's bad or nasty of
more powerful marketers to do this, just that they do
and you should study it and get yourself in a position
to use the same principle to get other people to send
you big-ticket buyers rather than sending all your
big-ticket buyers to the "gurus".

Sounds complicated but it's not really. If you aren't
in a position to get the money you won't get it with
any consistency.

IMC has "keeping the cows in the corral" down to a tee.

I went to a 2-day seminar they put on and watched in amazement
the upsells and downsells. Virtually nobody left without investing
in one or more of their products. It was extremely polished and...
well, go to one and you'll see. They have all their own products
including software. They never even mentioned 3-rd party autoresponders
bececause they sell Mail-loop. The product was positioned as
the only serious option for the ambitious person.

High ticket items tend to sell better, especially if well marketed (higher perception of product value), from my experience though the highest priced IM products I have sold were 1k products. Have not gone beyond 1K.

I guess it all boils down to the price you pay and the value you get in return.
An example would be purchasing a 5 thousand dollar pen and a 5 thousand dollar car.
The price you pay is the same, but the value you get out of it differs greatly.

Although when it comes to internet marketing, the rules change a little. We can pay 100 bucks for a car worth half a million, or we could pay 10 grand for a cheap pen.

At the same time, one cannot ignore how well known or how useful are the information to the individual. I guess in that regard it's very hard to determine what might be useful to a person (and him paying thousands of dollars for that single package) and what might be rubbish to another (not even forking out 50 bucks for the same thing).

One man's trash is another man's treasure.

It's funny to hear of all the folks that say "If I get those emails for $2,000+ products I opt out of the list" and then in the same breath want real help.

A lot of those high priced courses are actually very good and I definitely got my money's worth because of the ideas it generated for me.

There comes a time when people have to realize that you cannot do it all on your own, that eventually you will need to get some great advice and fresh perspective to generate those ideas further.

It's almost like having to pay an admission fee to get the very best information out there that can really take you to new heights - If and only if you use the information.

"But I can't afford it!" Now that's a common complaint and a legitimate one too. For now you will have to work very hard in the trenches, doing what you know and picking up enough small tips to generate the money to be able to afford those other courses.

Don't write off the fact that a particular course costs too much so you're avoiding them forever. That would be a huge mistake on your part and I do speak from experience!

Besides, how much do College courses or University cost nowadays?

Mike Hill