Pricing isn’t all logic. People also buy at one price and not at another for psychological reasons – many of which they don’t understand. Yet these psychology-based choices have been documented by pricing strategy experts in tests of hundreds of millions of consumers. Here’s how pricing psychology can work for you.
Dr. Jensen has also performed dozens of pricing strategy tests for her own business launches — 1 magazine (Sportswoman) and 2 paid-subscription newsletters (Ancillary Profits and Media Marketing), all 3 of which she later sold) — and a book company.
– Paul Swift Editor & Publisher Newsletter on Newsletters www.newsletterbiz.com
"I’m amazed at how Pricing Psychology Report has helped me. I have recently changed career paths and this book has given me some much needed insider information. "The principles and proven pricing strategies illustrated in your book are dead on the money. Your strategies are practical, relevant, and easy to apply to real-life settings. This is exactly the information I have been looking for."
"Pricing Psychology Report contains 10 chapters of value-packed advice. (You) can use it to look beneath the obvious factors in making pricing decisions to consider the psychological aspects of how much you charge for your products."
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You might believe that there is no such thing as pricing too low – from a consumer perspective. But you’d be wrong.
In 1992, I launched Ancillary Profits newsletter (sold to magazine publishers) at a price under $100. A few months later, I tested that price vs. one well over $100 — a 31% price increase.
What should have happened? A common "rule of thumb" in marketing says raising prices by 10% will decrease orders by 10%. Thus I should have received 31% LESS orders. Instead, my orders went up by 11%! At a 31% higher price! If you do the math, that means I got to pocket 45% MORE CASH for the very same product.
PRICING PSYCHOLOGY REPORT explains WHY higher prices can sometimes attract MORE buyers, and what market conditions make it more likely to happen. Many of these factors are under your direct control. Armed with this knowledge, you can figure out how to make it work for YOUR products and/or services.
Yes, the $9.99 price will be the winner (except for one particular category of products – as you’ll learn in PRICING PSYCHOLOGY REPORT). The $9.99 price will probably pull 10-20% more buyers than the $10 price.
Why? Certainly not because of the single penny saved! There is a learned-pattern response in our brains that makes us see $9.99 as much lower than $10. And it persists – even though most of us know this trick.
There are many more such psychological quirks – or emotional reactions to numbers – in human brains. Quirks a pricing-strategies-savvy marketer must understand in order to generate as many sales as possible.
Yes, one of the above prices has been tested in millions of direct mailings and found to get up to 10% more orders than the other prices.
Yet, you needn’t spend that kind of money testing them. You can learn the answer in PRICING PSYCHOLOGY REPORT.
But this doesn’t only apply to such small prices. It’s also been tested and found to apply to:
Look at the last number ending the prices you currently charge. Maybe, by chance, your price uses the correct number.
But, look at the odds. You’ve got just a 1 in 10 chance your price is the one most likely to increase your sales. PRICING PSYCHOLOGY REPORT will let you change that last number and increase your cash by up to 10%. No, we can’t guarantee that it will work for you. But hundreds of direct marketers have tested this and found that it DOES WORK for them.
The pricing strategies in this section of the report alone are worth AT LEAST thousands of dollars for you!
If your product or service isn’t sold by direct response – it doesn’t matter. We look at direct response price tests because they are the clearest, cleanest price tests that can be conducted. You don’t have extraneous variables, such as store locations, different cities, etc. all affecting results. With direct response (both by mail and over the Internet), everything is exactly the same – except for the price. So we can prove these pricing strategy tests are statistically reliable and valid.
In 3 statistically reliable price tests for clients and myself, I have personally found one number between 0-9 to be DEADLY. When I used one "poison" number in the price – sales plummeted.
In all tests, there were 3 prices tested. Call them higher, medium and lower. The expected results would be something like this:
HOWEVER… in these three tests the medium price performed terribly. It pulled just 16 orders for one client and 26 orders for the other. (Compared to over 50 orders each for the "highest" and "lowest" prices.) In the test for my own product, I got:
Why? Each of the three "medium" prices that bombed included a number that was not used in any other price tests I’ve done for my own or my clients’ products. So – the only time I’ve tested prices with this single number in it – the results have been a disaster.
You’ll learn this number in PRICING PSYCHOLOGY REPORT. If you discover it’s a number used in any of your prices, I recommend you immediately test a price without that number. It could make a big difference in your sales.
Some people want your product, no matter the cost. Others will buy only when you lower your price.
PRICING PSYCHOLOGY REPORT shows how you can identify these two different customer groups and learn which are psychologically predisposed to pay more and which are not. It also shows you pricing strategies that allow you to legally price your product(s) or services differently to those groups.
Further, this report shows you how to let your customers…
Pricing Psychology Strategies
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