I tend to agree with Seth Godin’s advice on pricing:
“Are you more likely to take action because you’ve paid a lot?
One of the most effective ways to get your ideas implemented is to charge a lot for them. It increases the perception of value and creates an impulse to execute so that the investment won’t be wasted.”
As an “economist” this isn’t really rational. But people really aren’t all that rational. I know from my personal experience that if I pay even a little for something I’m much more likely to use it than if it’s free.
Food for thought for all you marketers out there.
Read the full post here: Do It Tomorrow
So get this, there’s this great product out there that has been tested solve the consumer’s problem far better than the competition’s product. It is similarity priced, and is even a bit cheaper. The design and usability is fantastic, like Apple-good. It’s durable, lasts a long time and has a several year warranty. Overall, this product kicks ass in every possible way, this is a fact. The problem is nobody knows about this product and it’s greatness. Because nobody knows about it nobody cares about the product or wants to buy it. The cause of this scenario? Bad marketing. Without good marketing, nobody knows about the product and nobody wants to buy. Good marketing tells consumers WHY the product is worth buying, which is all the consumer cares about. Continue reading