Raising Your Rates Can *Increase* Your BusinessGet Internet Marketing News and Info on mps-internet-marketing.com. Raising Your Rates Can *Increase* Your Business topic will increase your understanding on Internet Marketing News and Info. We at mps-internet-marketing.com only provide news, articles, information in Internet Marketing News and Info. Internet Marketing News and Info at mps-internet-marketing.com provides the most up to date news and articles. If you have questions please do not hesitate to contact us.
How many times have I heard literal horror stories from Internet business startups? Too many times to count! I get emails from those who just simply can’t seem to make a living online. They’ve tried everything (according to them) and are still struggling to make ends meet. At some point, the "conversation" always turns to price. That’s where I find a lot of online business people making their mistakes. The common mindset among Internet business startups is that you have to keep your prices rock-bottom low in order to attract customers. Nothing could be further from the truth! Raising your rates (in some cases) can actually increase your business. How so? Here are several reasons.... 1. People Equate Price With Quality I’m sure you’ve heard the expression, "You get what you pay for." That statement comes from a long line of lessons learned by people across the globe who have bought something at a discounted price and regretted it later. Maybe the product was used. Maybe it was made with inferior materials. Perhaps a "discount" service they tried fell through and left them in a fix. It could be any number of reasons, but those who have tried the "bargain" or "discount" route and have been burned are quick to look for higher priced products and services. It makes them feel safe. I know of several online business owners who raised their rates on the services they provide. What happened? For about one week it seemed they had made the wrong decision. Business all but stopped! However, after that "adjustment" period, floods of leads came rolling in. They never regretted it. 2. Customers View Higher Prices As A Status Symbol It’s true! I’m sure you’ve met some people who love to brag about how much they paid for everything they own. Their car was custom ordered from the dealer and cost much more than any old car chosen from the showroom floor. Their clothes reflect this season’s latest trends and were purchased at full price from the expensive department store... NOT at an end-of-the-season clearance sale. I could go on and on. The point is, many customers simply will not buy a product or service at a discount price regardless of how good the quality is. They have the "ability" to afford higher prices and are proud of that fact. 3. Many Believe Expensive Products Are Image Boosters I actually heard this conversation in a department store once. Woman One: "Look at this blouse! Isn’t it wonderful?" Woman Two: "It’s OK, I guess." Woman One: "But it’s an Adrian Bloom blouse! I’m going to buy it and make all my friends jealous." Woman Two: "Who is Adrian Bloom?" Woman One: "I have no idea, but this blouse costs twice as much as that Liz Claiborne one so it must be the next big thing!" Can you believe it? The woman had no idea who the designer was, but based on price, she decided it would enhance her image so she bought it. The same is true of Internet shoppers looking for products or services. Those who believe being associated in some way with higher-priced businesses are more willing to spend money because they feel it will enhance their images. The psychology of pricing is a complicated subject, and I’ll be the first to admit that raising rates will not work for everybody. Before you raise your rates, consider the following: 1. Can you offer something better or different than your competition? 2. Will the rest of your business support the "branding" of a higher price? (i.e., Do you have a very professional-looking site, excellent service, and other elements that those who pay higher prices expect?) 3. Will the new pricing structure allow you to make as much, or more, money by selling fewer items at a higher price rather than many items at a lower price? It just might be that the reason your business is struggling is that you’re charging too little. Give some serious thought to raising your rates. It just might be the best thing you ever did! Copyright 2004 Diane Hughes * ProBizTips.com Starting A Child Daycare. - Complete business package to help you easily and quickly start your own profitable home-based day care business! Registry Cleaner And Optimizer. - Affiliates Promote us for Amazing conversion rates - From the Noadware.net team, #1 product of 2004-2005. Article Index: | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 | 21 | 22 | 23 | 24 | 25 | 26 | 27 | 28 | 29 | 30 | 31 | 32 | 33 | 34 | 35 | 36 | 37 | 38 | 39 | 40 | 41 | 42 | 43 | 44 | 45 | 46 | 47 | 48 | 49 | 50 | 51 | 52 | 53 | 54 |
More Articles:1. Web Coach Tip: 3 Quick & Easy Ways to Identify Your Target Market By Donna Payne #1 ~Look at your past customers~Notice trends in the type of clients you attract and pay particular attention to the ones who provoke you to be our best. How do you feel when you get off a call with a client who's "got it together"...Great, right? What about the client who's a real downer? The phone rings and you glance at the caller id. Ugh! Not her AGAIN! I'd rather stick my hand thru the paper shredder than answer the phone. (LOL, we've all been there!) Remember the tolerations from unpl… 2. How Internet Marketeres Can Create Their Own Powerful Niche... Even In an Over-Crowded Industry! By Jeremy Hoover For some reason, people who look to the internet to make more money or start their own online business are drawn to the internet marketing or home business industries. Ironically, these marketers (and I was one of them!) become affiliates for "make money from home" products, or buy reprint rights for the same, and thus try to sell something they have no experience in.Sooner or later, new internet marketers will hear from an established "guru" that they should stay away from the internet marke… 3. The Power of Buzz By Susan Friedmann How did Hotmail gain over 12 million subscribers in 18 months? How did the very low budget movie “The Blair Witch Project” become such an incredibly successful phenomenon? The answer lies in the power of “buzz.”Buzz or word-of-mouth marketing influences more people to buy, or not to buy products and services, than most other forms of marketing. Why is it so powerful? Basically, we have a need to share information as a means of communication and also as a way of understanding the world arou… 4. Top 7 Internet Marketing Sites for 2005 By Jinger Jarrett Are you confused by what really works when marketing your business online?I know the feeling. There are literally thousands of sites out there that either promise to teach you how to effectively market online or tell you that they have the magic formula.However, there are some tried and true methods of internet marketing that actually work and never go out of style.These seven sites will teach you how to market, and many of the resources they offer are absolutely free.Internet Marketing Traine… |
||||
