Here Are Some Pricing Strategies You Can Use To Increase Revenue
Pricing Is A Tricky Subject
Pricing is kind of like a golf swing. So much goes into it that even one little error, and you are slicing into the woods. Same with pricing. There are so many things that you can’t control, so how do you know you are getting the most for your product or service? Here are a few suggestions.
One of those is to offer options or packages. It’s been proven that if you offer just one item with one price, people see that as a cost. They also see two of the same as a cost. But if you offer three options, and each is different, people now start to look at the value, even if they have no idea what it actually costs.
For example, if I say a Size 5 Widget is $5,000, a Size 9 Widget is $9,000 and a Size 15 Widget is $13,000, you can probably see that the Size 15 Widget is probably the best value because the other two sizes’ related to how much they were. You would expect the Size 15 Widget to be $15,000, but it’s $2,000 less.