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How Do You Price Your Products?

Discussion in 'BlackHat Lounge' started by SpellZ, May 25, 2011.

  1. SpellZ

    SpellZ Regular Member

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    When you are about to launch a product (eBook, program, webinar, whatever it might be) how do you choose which price it might be? The reason I'm asking is because I want to launch a small 'guide' + a 12 month (weekly) eNewsletter witch will consist of two interviews with knowledgeable people from the industry. So I am trying to figure out what I should price it at... And should I charge a monthly subscription or not?

    50 @ $97 = $4,850
    56 @ $87 = $4,872
    63 @ $77 = $4,851
    72 @ $67 = $4,824
    85 @ $57 = $4,845
    103 @ $47 = $4,841
    131 @ $37 = $4,847
    180 @ $27 = $4860
    285 @ $17 = $4,845

    + The monthly subscription? I heard that if it's lower then $5.00, people usually never cancel it because it's so low that they always say, "I'll do it later" and never come around to it...


    Any help will be appreciated...
    If you are asking, "What is it exactly that you're asking me", the answer is, "How do you choose which price to make your product?"
     
  2. MillionDollarAdMan

    MillionDollarAdMan Registered Member

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    pricing is dependant on the quality of guide/ebook/product. If your product is something that can be found in other cheaper products then you gotta sell at a lower price, if your product is unique with concepts and strategies that haven't been shared before you gotta have a higher price to show the value of the product..

    With recurring fee's if its a lower fee you're right people generally wont cancel because it's such a low rate.. And for what you were offering each month I wouldn't be charging more then $7/month, as it's not a huge month thing that they'll be getting in return for their money.

    Anyways, long story short:

    Quality product = higher price
    Low Quality product = lower price

    And don't get caught up being in love with your product, look at it objectively and really think about is it good or not.
     
  3. 229tom

    229tom Regular Member

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    Easy!
    9X $500
     
  4. Scripteen

    Scripteen Elite Member

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    Pricing is a tough management task and even big corporations fail to price their product properly some times since there are many variables involved.

    For informational products where there is no cost per unit then you can sell on low pricing unless what you are sharing is something that gets saturated by volumes too quick like money making methods.

    Also if the cost of the product to you as a vendor is high, selling low will lower chances of profits specially when the info shared is exceptional like you having interviews with big players in the niche with exclusive rights.

    My own preference is starting low and going up as the product gains popularity and demand until you reach the point that scales profits and orders quantity.
     
  5. SpellZ

    SpellZ Regular Member

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    LOL! :p Ironic!

    I was thinking 180 degrees, completely opposite! I was thinking doing it at $7/month without any other fees? I feel like maybe more people will jump on it because its so low, and then when they go to their banking-online or whatever, and see all the numbers?.

    45.35
    25.62
    453.56
    32.32
    593.35
    52.36
    7.00
    422.42
    32.23
    53.34
    0.97
    34.42

    They might not realize the $7.00
    Actually? come to think of it? I realize the $7.00 right away? And thats because of the double 0s that don't fit in? I think $6.79 will work better?

    45.35
    25.62
    453.56
    32.32
    593.35
    52.36
    6.79
    422.42
    32.23
    53.34
    0.97
    34.42
     
  6. markm32172

    markm32172 BANNED BANNED

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    You should go for market research and find out whether anyone is providing same service or you have unique one.If same service providers are there compare your product with their's if you have unique product then you can start from the low price addition and increase its price as it gains popularity in the market.But if same services are there then you can price it relatively low.
     
  7. wowhaxor

    wowhaxor Executive VIP Premium Member

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    I always look at the competition, provide a lower price and point out what you do that competition does not and even quote their price. That helps a lot.
     
  8. gamingmaster42

    gamingmaster42 Regular Member

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