| |
| |
| Internet Marketing Information | |
|
|
|
Raising Your Rates Can *Increase* Your Business
How many times have I heard literal horror stories from Internet business startups? Too many times to count! I get emails from those who just simply can't seem to make a living online. They've tried everything (according to them) and are still struggling to make ends meet. At some point, the "conversation" always turns to price. That's where I find a lot of online business people making their mistakes. The common mindset among Internet business startups is that you have to keep your prices rock-bottom low in order to attract customers. Nothing could be further from the truth! Raising your rates (in some cases) can actually increase your business. How so? Here are several reasons.... 1. People Equate Price With Quality I'm sure you've heard the expression, "You get what you pay for." That statement comes from a long line of lessons learned by people across the globe who have bought something at a discounted price and regretted it later. Maybe the product was used. Maybe it was made with inferior materials. Perhaps a "discount" service they tried fell through and left them in a fix. It could be any number of reasons, but those who have tried the "bargain" or "discount" route and have been burned are quick to look for higher priced products and services. It makes them feel safe. I know of several online business owners who raised their rates on the services they provide. What happened? For about one week it seemed they had made the wrong decision. Business all but stopped! However, after that "adjustment" period, floods of leads came rolling in. They never regretted it. 2. Customers View Higher Prices As A Status Symbol It's true! I'm sure you've met some people who love to brag about how much they paid for everything they own. Their car was custom ordered from the dealer and cost much more than any old car chosen from the showroom floor. Their clothes reflect this season's latest trends and were purchased at full price from the expensive department store... NOT at an end-of-the-season clearance sale. I could go on and on. The point is, many customers simply will not buy a product or service at a discount price regardless of how good the quality is. They have the "ability" to afford higher prices and are proud of that fact. 3. Many Believe Expensive Products Are Image Boosters I actually heard this conversation in a department store once. Woman One: "Look at this blouse! Isn't it wonderful?" Woman Two: "It's OK, I guess." Woman One: "But it's an Adrian Bloom blouse! I'm going to buy it and make all my friends jealous." Woman Two: "Who is Adrian Bloom?" Woman One: "I have no idea, but this blouse costs twice as much as that Liz Claiborne one so it must be the next big thing!" Can you believe it? The woman had no idea who the designer was, but based on price, she decided it would enhance her image so she bought it. The same is true of Internet shoppers looking for products or services. Those who believe being associated in some way with higher-priced businesses are more willing to spend money because they feel it will enhance their images. The psychology of pricing is a complicated subject, and I'll be the first to admit that raising rates will not work for everybody. Before you raise your rates, consider the following: 1. Can you offer something better or different than your competition? 2. Will the rest of your business support the "branding" of a higher price? (i.e., Do you have a very professional-looking site, excellent service, and other elements that those who pay higher prices expect?) 3. Will the new pricing structure allow you to make as much, or more, money by selling fewer items at a higher price rather than many items at a lower price? It just might be that the reason your business is struggling is that you're charging too little. Give some serious thought to raising your rates. It just might be the best thing you ever did! Copyright 2004 Diane Hughes * ProBizTips.com About The Author Diane C. Hughes * ProBizTips.com FREE Report: Amazingly Simple (Yet Super Powerful) Ways To Skyrocket Your Sales And Build Your Business Into A Tower of Profits! ==>> http://madmarketer.com/diane
MORE RESOURCES:
Internet-Marketing - Google News |
|
|
|
RELATED ARTICLES
Limited Time Offers - Time Limits That Will Improve Your Sales Using limited time offers can spark a feeding frenzy that will sell tons of your products or service. The key to success with this is ensure that you are only using this offer once in a while. The Power of Taglines: Take My Tagline Test! An effective logo/tagline combination can be one of the best ways to successfully brand your business. But you don't have to take my word for it. Tracking & Troubleshooting for Increased Sales So many times, online business owners are confused about where their sales come from. They think they are helpless after a visitor arrives at their site. The Importance of Residual Income The concept of residual income or passive income is probably one of the most important concepts you will ever learn in your lifetime.I know. Internet Marketing Online: How To Help Yourself By Helping Others If you want to go far in business, and be a roaring success, you must understand that your success depends on others.This is an important success secret in internet marketing online. How Quality Content Will Increase Your Traffic and Sales Are you aware of how vitally important and valuable CONTENT is to your online business? In fact, content can do more to build your business and profits than just about any other resource or service available.Following is a list of 5 key ways that content can help build your traffic, subscribers, and customers starting today!. The Power of Reverse Advertising How many times have you heard that posting on FFA sites are a complete waste of time?Are FFA sites really a complete waste of time? .. Grab that Browser! The Captive Affiliate Marketing Model Creating mini-sites that grab your browsers and prime them into buyersIf you're familiar with autoresponders this will be simple, but yet many affiliates don't even think of this, and I can understand why - because when you glance over this idea it seems a little over-enthusiastic for making a simple commission based sale. But this is a common flaw in affiliate marketing - we're stuck in this mindset of keeping things as simple as the concept suggests. Niche Marketing Nuggets: Picking the Gold from the Internet Mine Building an Internet business based on a specific niche is not only good sound business it's smart.What is a niche?Boiled down, a niche is a specific area of interest people have. Internet Marketing: To Promote Your Online Business Through Joint Ventures With Offline Business What is a joint venture?It means when you partner with a business to do marketing in order to share the profits.It is an important offline marketing strategy that can help you succeed in your internet marketing efforts. Effective Time Management Earns You More Money! In this article, "product" means any tangible product, digital products (ebooks and software) and services such as membership sites, web design and development, hosting, "print on demand" for ebooks, fulfillment for orders and so on.By necessity you will spend time in each of these stages. Raising Your Rates Can *Increase* Your Business How many times have I heard literal horror stories from Internet business startups? Too many times to count! I get emails from those who just simply can't seem to make a living online. They've tried everything (according to them) and are still struggling to make ends meet. The Numbers Dont Lie! It's true. They don't. Resources For Staying Current of IT Advancements For Online Business Owners The internet and associated technology changes at a relatively fast pace. For anyone working in fields that make extensive use of IT technology, it is crucial to always stay one step ahead of the game. X-Ray Specs, Turning 30 and Achieving Website Success I was writing the final chapter of my book on website marketing a few weeks ago and was wondering how far I'd progressed with it so I ran a word count. 44559 words. Truth and Lies How low can one get? The number of encounters I have had in the few months as a network marketer with liars is astounding. Why do people need to stoop to lying in their attempt to succeed? Do they really believe that they will attract customers by using deceptive means. Internet Marketing - The Two Faces of FREE 'FREE' is the reason people are successful, and make a fortune marketing on the internet, yet 'FREE' is also the reason 90% of people fail miserably!It is all to do with your approach to your business and your careful use of 'FREE' things.You will never make any money placing your own ads on other people's FREE classified sites and/or FFA links, even if you have submission software. How To Get An Instant Flow Of Traffic Doing What You Always Do How DO you get a great flow of traffic for free? Well I know one way you can get great traffic doing what you do everyday you get on the internet! Finally something easy without clicking sites you don't want to look. Look at what you want to with InstantBuzz while getting credits to display your site to thousands and thousands of people across the globe. An Introduction to Mortgage Marketing The other day I had an appointment to meet with a client about a real estate classifieds website. We decided to meet at a local restaurant and discuss the project over a few beers and oysters. Web Marketers - Get Some Professional Help! There is lots of freelance help available on the internet, from writers, editors, proofreaders and other professionals in the writing industry to software developers, graphic designers, web designers and all manner of other technical and business specialists.Thanks to the increasingly popular outsourcing exchanges, such as Elance.
|
| home | site map |
| © myfinancialsolutiononline.com 2007 |
