subject: Marketing Blog Author On Selling Higher Priced Products [print this page] Simple Marketing Tip that makes it easy to sell larger amounts of YOUR more expensive products or services
About a month ago I was working with one of our business-owners and looking at all the ways to make their marketing more profitable. At the time, we were focusing on their A B offer or a 2-part precious medal product offer.
To explain this in more detail:
What that means is they had version of the same product one basic version with a basic price and another version that provided an extra value for a higher price. In this case, it was longer customer support and a few more perks that made the customer experience higher end.
And even though the higher priced offer provided many more times the value of the lower end product, the customers still were not buying nearly as much of the higher end version as the business-owner we are working with was hoping.
Usually when one of my "done-for-you" marketing clients want a jump in their profit, I look at their marketing to see if their is any low hanging fruit or opportunities that I can just slightly change that would create a significantly higher result in the return on our clients marketing, no matter if its business-to-business or business-to-customer.
So this time with this specific business-owner (and friend of mine) what we did was instead of working on attracting more leads, or the scripts of the sales people, we just added another extra higher end offer to the A B offer they already had. Which makes it now an A, B, C offer.
If you only have a single offer and all the other bases are covered and your prospect decides to buy from you, then they only have one choice so of course its perfectly logical that they are only going to buy the product offer available.
If you have two offers in today's market, we find a larger percentage of people will choose the lower-end option.
Why? Because the average customers wants to make a balanced decision that is a compromise between what their lowest needs are and what they can afford.
When you ad a 3rd more expensive option, what we find is that most of the people buying will purchase the middle priced -option which was your more expensive option before you added the 3rd option.
Make sense?
What this means to you is that even if no one ever buys your NEW most expensive package or product or service (which someone probably will sooner or later if you know how to present the value of it) that simply by having the more expensive 3rd offer there at the right time in your buying cycle, you significantly increase the numbers of people that will buy what use to be your most expensive option.
Now, I know it isn't just true when business-owners work with me to make their businesses more profitable because in the book "Yes" Robert Cialdini talks about why this works the way it does.
We are not going to go into why it works here because I am into keeping things simple and the proof in my testing of it working is more important to me than why right now...most of what I know comes from just testing until a pattern is found that is profitable.
Did you find this helpful?and How do you think this could be applied to your business to increase your business profit?
