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Pricing: $149/$249/$449 -VS- $249 Price

by mseanmarshall
15 replies
Hello Warriors!

I'm working on a new product for my business that includes some article and video training in a members only format.

Now I've come to the pricing question. I'd like to sell it for around $249 so do I:

1. Sell it using the $149/$249/$449 method?

or

2. Sell it using a simple $249 price?

The advantage of the first option is that I'm picking up the cheapskates with the $149 price and possibly scoring big with the $449 price for those who always buy the biggest and best.

The advantage of the one $249 price is that it takes out any decision (you know - too much decision becomes indecision...)

What are your thoughts?
#$149 or $249 or $449 #$249 #price #pricing
  • Profile picture of the author Jubu
    It really depends on the market you're targeting. Are there any other products out there like yours? See what they did if there are.

    I'd personally go with the first option because, like you said, you'd go after different types of people in the market place.

    That would also help when targeting them in the future. If they bought something expensive from you, they're more likely to buy something expensive again.
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    • Profile picture of the author andrewkar
      I probably would go with first one as well.

      Multi-Tiered direct sales funnel might be better and it all depends on your offer, competition, perceived value of such products and overall market "views"...
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      • Profile picture of the author mseanmarshall
        Thank you all so far for your responses. My goal here is to capture all of the clients that can't quite afford my services (so I productized it!).

        With that in mind, it might actually be better to use the 3 pricing format to be able to have as big of a net as possible. Some people might see the $247/9 pricing and think it's too much but they would go for a $147/9 price.

        Then, there are always the people that will go for the most expensive so adding the high end $447/449/497/499 price would work for them.

        So I have the "cheap" one and it also makes the middle one look really good because it's so much more stuff for just another $100. Then there's the expensive one that still makes the middle one look really good because it's $200 more! But, with any of the choices, I'm going to make sure the value is really there.

        Thank you for any other thoughts!
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  • Profile picture of the author mysteryleaves
    l would suggest eg $247 use the 7 and the end on which ever price you decide on instead of 9
    most products sell like $47 $97 $147 ect. hope that helps
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  • Profile picture of the author John Romaine
    What are your competitors doing?

    Do whats already proven to work.
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    • Profile picture of the author busterkman
      Like was stated earlier, ending in 7's usually ends up selling better.

      There's something that triggers us to feel likes it's a lesser price,
      kinda like 'no big deal'. To where ending in a 9, makes you roll the price up, and feel like you can't afford it.

      Really?

      yeah, really.
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      • Profile picture of the author SeoDemon
        Originally Posted by busterkman View Post

        Like was stated earlier, ending in 7's usually ends up selling better.

        There's something that triggers us to feel likes it's a lesser price,
        kinda like 'no big deal'. To where ending in a 9, makes you roll the price up, and feel like you can't afford it.

        Really?

        yeah, really.
        yes the number 7 is like a charm
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  • Profile picture of the author Marcus Rockey
    Depending on your marketing skills and TRUST with your clients. If you have built up enough value in the eyes of your prospects you can determine the price.

    But what do you think it is worth?

    Do you fully believe that your clients would be insane to NOT buy your product? Would you be doing them a dis-service if your product slips through their fingers?

    If you say yes then be sure to price so they will buy today. Give the value and retain them for upsells in the future...

    Good luck

    Marcus Rockey
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  • Profile picture of the author Thomas Michal
    Less options usually lead to more conversions I have found. (don't make them think)

    I would go $247 flat.

    Or... to get the cheapskates (as you say) do a $7 - 3 day trial with the auto-bill of $240 because if they have $197 chances are the "have" $247.
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    • Profile picture of the author fin
      Originally Posted by Thomas Michal View Post

      Less options usually lead to more conversions I have found. (don't make them think)

      I would go $247 flat.

      Or... to get the cheapskates (as you say) do a $7 - 3 day trial with the auto-bill of $240 because if they have $197 chances are the "have" $247.
      Or it doesn't.

      The dumb pricing mistake people make (and how to fix it)
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      • Profile picture of the author mseanmarshall
        Great video! Yeah, it's the psychology I was thinking in the first place with my pricing.

        I think I've got my answer.

        Thank you!
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  • Profile picture of the author MarketingMinded
    Why not set one recurring monthly price and a standard lifetime price. I've seen that work for other products.
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    • Profile picture of the author mseanmarshall
      Originally Posted by MarketingMinded View Post

      Why not set one recurring monthly price and a standard lifetime price. I've seen that work for other products.
      That's not a bad idea. I had thought of doing an option of a low monthly amount and also offering a lifetime price.

      Any ideas on how much? I mean, it doesn't seem logical to charge $20 a month and then a $247 lifetime access.

      Or does it?
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      • Profile picture of the author MarketingMinded
        Originally Posted by mseanmarshall View Post

        That's not a bad idea. I had thought of doing an option of a low monthly amount and also offering a lifetime price.

        Any ideas on how much? I mean, it doesn't seem logical to charge $20 a month and then a $247 lifetime access.

        Or does it?
        If you go that route and your lifetime price is $247 then I'd price the monthly charge to $47 or if want to go on the high end side, $97.

        Don't let the numbers scare you. When you provide value, price doesn't matter.
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  • Profile picture of the author ryanmilligan
    Banned
    I would use the first method, personally, if I was only allowed to choose one for whatever reason.

    (if someone was holding a gun to my head, or if my loved ones would get sick etc, lol.)

    That way you can add some pricing scarcity, which is always good. Like "two more copies until the price is raised from $149 to $249!!" Etc...

    ... you get me?

    Either way though, we can't tell you what method is the best - we can help you from experience, but only you can know what will work the best for you...

    ... through that magical thing we call - testing.
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