In previous email I talked about the power of comparison in marketing.
The comparison principle states that you should never offer to your prospective customer the choice between buying or not buying your product: you should rather offer the choice between two different configurations of that product.
There is a marketer, name is Sean D’Souza, who went further in using this concept and elaborated a very smart pricing strategy.
He always, always, always offers at least 2 slightly different configurations of pretty much the same products, at different prices.
The tricky part is that the price difference he sets is relatively small: something like 15%-20% (I mean, NOT double or triple).
And you know what?
The percentage of customers who go for the more expensive option is HUGE.
What does it mean for you?
Simple:
imagine you have the same product that you can sell at $100 or, with a minor embellishment, you can sell at $120. And let’s suppose the percentage of those who would buy the high-end version vs the low-end one is – say – 70% vs 30% (btw, this proportion is realistic if the difference you set in the 15%-20% range, and if you sell properly the major benefits of the ‘deluxe’ version).
So:
if you sold 10 pieces at fixed price of $100, you would make $1,000…
… but if you sell 10 pieces, 3 at $100 and 7 at $120, you make $1,140!
And why should you leave on the table those extra $140 for not testing this approach?
Action:
If you have your own products to sell, try this techniques immediately.
And if right now you’re an affiliate, keep the technique in mind anyhow: you’ll need it when you’ll create your first product.
