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Lowering the price of a product after its been sold?

Discussion in 'Making Money' started by Ander, Aug 22, 2016.

  1. Ander

    Ander Registered Member

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    question to those of you that sell your own products: say you are testing the market to see what kind of response you get with your product at a certain price; you get some sales but you think you'd net more if you lowered the price and got more conversions. do you just lower the price even though there are customers who may have recently bought your product at a higher price? do you ever get complaints/refund requests? if so, how do you deal with them?
     
  2. Fragmaster

    Fragmaster Jr. VIP Jr. VIP

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    Discount coupons solve everything. Its easiest way to have dynamic price, which invalidates any complaint about price change.
     
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  3. DutchStuff

    DutchStuff Junior Member

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    What Fragmaster said is 100% true

    But if you want to generate some more sales out of this, you also can offer the ppl who already bought on the higher price (in case you are going to lower the price) a discount on their next order. So you sell more of the "old" product to new customers while the main customer don't get passed, just offer enough discount so they don't start complaining
     
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  4. shezboy

    shezboy Jr. VIP Jr. VIP Premium Member

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    Discounts are a great way to increase sales either with new customers or existing but don't build your business model on discounts because it lowers the perceived value of your products and, in a forum environment, it becomes expected that you will offer a discount to get the sale. I am known for offering 50% discounts on the plugins I sold which created a lot of sales but only generated half the income.

    What I have found is that removing the discounts created fewer sales but it increased the overall amount of revenue which is great. It also means there are less customers to support. I guess it depends on what you're selling though and if ongoing customer support isn't an issue then maybe offering a discount to increase your sales will work for your business.

    As said in an earlier post, use discount codes rather than changing prices. It's easier to keep prices the same while changing the amount of discount.

    It can be a tough call knowing whether or not to offer discounts to new customers and/or existing without upsetting anyone. What you could try is a smaller discount for new/first time buyers and then a slighter bigger discount for existing customers for cross selling your other products. Everyone is happy then.

    Just don't go too steep on that discount else you'll end up starving your company of its profits.

    Shez
     
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