Many-a-times the business enterprises end up lowering their price to build their business. Have you ever asked yourself – what is the point in reducing the price to achieve more sales? Anyone and everyone can achieve more business by lowering their price. This is not rocket science.
Lowering the prices of your products and services will only attract the customers who do not value or appreciate the complete price. The price solely drives these customers. Hence, if they required paying the whole price, they would not do it.
The customers who get propelled by the price would tend to leave once you hike the price. The major problem with these customers is that they are needy customers. They do not understand the value and would bug you, again and again, the complete time they would be carrying out business dealings with you.
Hence, you need to keep your prices reasonable and still be able to attract customers. Are you confused about how to achieve this? Well, read on this article to know how to make your prices attractive to your customers.
Tips to Make Your Prices Appealing to Your Target Audience
- Pricing isn’t about affordability; it’s about positioning
The biggest myth related to pricing is that it has to be affordable. Affordability is a relative term. Your aim should be convincing your target audience that your service is worth the designated price. Remember that it is not about figuring out an acceptable cost that the consumers are willing to spend.
- Offer a guarantee of money back
Every transaction has some amount of potential risks. However, if you try to lower the risk, you can make a more attractive offer. The best method of minimizing the risk is by offering a guarantee of money back. This builds up trust and sets up an excellent win-win situation. If your customers try your services or products, they would yet be safeguarded from the negative financial results.
- End your price with “9”
There is a good reason as to why a huge number of price tags end with “9”. It is proven scientifically that the odd digit “9” tends to make the customers feel that they are getting a discount or a bargain. So, if you are unable to decide between a rate of 99 or 100, consider going with the former.
- Offer installment plans
Your customers will tend to love the installment plans. There is something attractive about being capable of paying a big price little by little. You can even make use of this tactic for making your product appear much more affordable.
The Final Words
When you initially plan to launch your very own business, you may find things a bit rocky. You may tend to get confused with the pricing. However, you need to build a smart pricing strategy. Remember that good services and products are priced for a reason. They have price rates that develop with time. Hence, lowering your prices should not be your motive. Rather making the same prices attractive should be.