The Basics of Product Creation How to Price Your Products
Why Product Pricing is Important It will determine how much success you will have Price too high => no one will buy Price too low => you may not recoup time and expense
Exception to What’s Ahead Pricing low to build list of buyers Works best when you have a back-end Upsell/OTO Follow-up with more expensive product Recurring revenue stream
Factor #1: Market Size Competitive Pricing Your positioning/USP vs competitors
Factor #2: What You’re Including Electronic E-books, reports, whitepapers, PDFs Audio Video Tangible products Personalization Calls – group (teleconferences/webinars) & one-on-one One-on-one assistance Q&A through blog/forum Community
Factor #3: Your Time & Out-of-Pocket Expenses If new to product creation, multiply estimated time by a factor of 3 or 4 to be realistic Sometimes it may not be worthwhile
Pricing Hack #1 Offer multiple products at different price points Different formats + the whole enchilada Different formats + bonuses Most people buy the middle priced product
Pricing Hack #2 Offering a premium option (5-10x the price of basic) can boost sales Example: $47 product -> $297 product which includes 2 hours of coaching
Final Words Don’t offer too many choices It can reduce sales Limit to 3 options max You will need to experiment
What’s Next?
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