PRICING YOUR PRODUCT
Price is a strong determinant of sales. You need to do your pricing determination of you info product very well. Sometimes, low price do not mean high sales. Low price can even produce a negative result.
Let me show you with my little experience.
In 2011, I advertised an info product, The Mini Importation Business on the Guardian newspaper. The price I placed the product was N5,500. In a few days I had more than 100 people who bought the product and called back to thank me. That was my first and major advert of all times. I spent about N12,000 to run a 2-By-2 ad space on a Thursday guardian. The information was classical and people saw the price as worth it.
Sometime later I advertised another product what you missed while working for the government, the bank or someone else: 101 business ideas you can do with low capital. Because of my target audience that included the bankers, I decided to raise the price of that product more than the first. I placed it at N10,500. And at this time too I increased the ad space to a 4-By-2 size. I paid about N25,000. What happened? I sold 32 copies in 30 days. I made less money here because I made less sales. Again my target was low but made up of those who can afford to pay N10,500 for a product they do not know whether it will work for them.
But I have a particular experience that struck me and I will tell you how to manage it. I sold a product for N2,000 It was an idea on Blogging. I thought that by making the price low I will have more sales but I was wrong. I placed an advert for N27,000. The advert design was very nice and attractive too. But lo and behold I only sold about 15 copies. At N2,000? Does it mean that people do not like cheaper things any more?
Well, the reason was that the information I was selling was a technical one and have a special target. The price also makes it look unimportant to someone who may not see any need to find out what it looks like. But what if I had placed the price at N25,000. People would be interested to find out what it was all about. Some people who have never heard about it will want to know why it costs so much. Some will feel that if it’s not valuable that the price will not be high. If I had made only 10 sales I would have made N250,000.
So my advice here is that you consider the target audience and the value you place on your product before you place a price on them.
If you are going to buy a big space for an advert, do not price low because you cannot spend big money on something whose value is low to the public.
If you will sell at low price, try to justify it. Tell the people why your price is low today. Tell them that it will go back up to original price after 7 days. You can do this more effectively if you have a website. Should you need a website, I can build one at very low price for you. Contact me soonest for that if you have a need to write more information for your product sales.