Are you aiming your sights (and prices) TOO LOW? by Troy White
Ask many business owners how they could win a war against a competitor, if need be. “Lower the price” would be the most common answer on how they would do it. But, we aren’t most people!
We know, understand, and LOVE direct marketing and respect the FACTS that show higher prices are the way to win… not lower.
One of the easiest ways to boost your profits right now is to raise your prices and to create unique bundles and offerings that your clients and prospects cannot find elsewhere. When there is no possible way to compare apples to apples – their decision is no longer based on price.
Provide them a unique experience and offering, especially one exclusively available from you, and you can warm up the cash register because it going to start smoking!
Take, for example, Coach on Madison Avenue in Manhattan. They sell high end ladies handbags. At least, they were once considered high end – after they started testing what “high end” really is… they got a welcome surprise.
[Forbes. Jan 07]
In the past, their average handbag sold for $300. To me, that sounds like a higher end purchase (to my wife – that’s an quick stop for lunch and “ooooh – look at THAT purse!”… she IS a purse-aholic and is darned proud of it. I’m not.)
Lewis Frankfort, the Coach CEO thinks the way is to go upscale – and the numbers are proving him right.
Common purchases now:
- a $1,300 sweater coat
- $700 JEANS!
- $2,500 satchel
- $4,500 lime-green ostrich-skin bag
- $10,000 tobacco color Ali Alligator shoulder flap bags (get this: they quickly sold all 8 of these… much quicker than they would have guessed)
To add to this, Frankfort was also quoted saying “the market for Coach is now a lot larger than we ever contemplated”. Their average ticket price is now 48% more than it used to be – and it their new program for higher end offerings now constitutes a solid 18% of total revenues (this is in the first YEAR of roll-out, in a $2 BILLION dollar corporation!)
SO, WHAT DOES ALL THIS MEAN TO YOU?
Chances are good, you are under-pricing yourself. I know that I way undercharge for some of my products and services! Especially when you factor in the returns my clients get with a hot selling sale campaign.
One of the fastest growing segments out there is among the “mass-affluent”. This group pays for the experience – and will pay a premium if treated right.
Again… and again.
Give them the experience and selection they want and can pay for, and they will be yours for life.
So find ways to raise your prices, bundle them differently, roll out a higher end offer, limit production or reduce the number of clients you take on. It really isn’t any harder to sell a $1,000 item than a $100 one.
In many cases, it’s actually easier and with much less hassle.
Give it an honest 6 month test of higher end products and services, and compare the numbers. You may have had lesson quantity of purchases (or maybe not? Won’t know until you test it). But I am willing to bet your revenues and definitely profits will skyrocket.
What do you think? Is a simple test worth a 48% boost in your pricing? I think so.
Troy White, The Marketing Results Mentor and Expert Copywriter helps clients achieve HUGE growth surges in their business in very short periods of time. He is a very sought after marketer and advertising specialist who has helped launch some of the world’s most profitable marketing systems. For more info visit White’s site at http://www.SmallBusinessCopywriter.com or sign up for his Free Cash Flow Surge Newsletter at http://www.CashFlowSurges.com
Article Source: http://www.earticlesonline.com/Article/Are-you-aiming-your-sights–and-prices–TOO-LOW-/139845
Coach good ali flap purse
|
|
NwT COACH 75th Anniversary Collector Ali Suede Shoulder Flap Bag 10351 $499.96 |
|
|
NWT COACH ALI Black Pebbled Leather Convertible Crossbody Flap Hobo Bag+Wristlet $448.00 |
|
|
NWT COACH ALI White Pebbled Leather Convertible Crossbody Flap Hobo Bag+Wristlet $448.00 |
|
|
NEW COACH KHAKI SIGNATURE C BLK VACHETTA LEATHER LEGACY ALI SLIM FLAP PURSE BAG $399.00 |
|
|
COACH ALI CREAM Leather Large Flap Purse Bag NWT $350.00 |
|
|
Coach Legacy Ali Signature Shoulder Flap in Gold #10340 *NWT* $349.99 |
|
|
Authentic Coach Ali Signature Shoulder Flap B4 Khaki Gold Handbag Purse NWOT $300.00 |
|
|
COACH LEGACY ALI MULTI STRIPE LINING FLAP BLACK LEATHER BAG.10329 RETAIL: $498 $248.00 |
|
|
NWT! 13641 COACH ALI SIGNATURE SATEEN FLAP HANDBAG $209.00 |
|
|
COACH ALI LRG LEGACY BLACK SIGNATURE LEATHER FLAP SHOULDER BAG PURSE TOTE 10340 $189.99 |
|
|
COACH LEGACY-ALI Signature Leather Flap Shoulder-BAG $199.95 |
|
|
COACH ALI 10824 SIGNATURE DENIM FLAP LEATHER HOBO SHOULDER BAG PURSE TOTE $169.99 |
|
|
Auth COACH 12857 Legacy Signature Ali Flap Shoulder Bag Purse Hobo EUC #114 $159.99 |
|
|
Auth COACH 12857 Legacy Signature Ali Flap Shoulder Bag Purse Hobo EUC #159 $149.99 |
|
|
NWT:COACH ALI ROSE GOLD FLAP LEATHER BAG-13652 $149.50 |
|
|
Coach Ali Mahogany Brown Pebble Leather Flap Bag Shoulder Bag HObo $278 13652 $144.00 |
|
|
COACH ALI 13652 IVORY PEBBLED LEATHER FLAP HOBO SHOULDER BAG $129.00 |
|
|
Coach-Large Khaki Signature Legacy Ali Flap Handbag $135.00 |
|
|
Auth COACH Legacy Stripe Signature Ali Flap Shoulder Bag Purse Hobo #160 $119.99 |
|
|
Auth COACH 12857 Legacy Signature Ali Flap Shoulder Bag Purse Plum Khaki #125 $99.99 |
|
|
COACH ALI 13652 IVORY PEBBLED LEATHER FLAP HOBO SHOULDER BAG $79.00 |
|
|
COACH IVORY WHITE BONE ALI LEATHER PURSE FLAP HOBO BAG SHOULDER HANDBAG 12854 $169.99 |
|
|
NWT COACH 13648 ALI LARGE FLAP WHITE “CERVO” LEATHER XBODY HANDBAG MSRP $458 $139.99 |
|
|
Coach Signature Shoulder Ali Brown Leather Trim Tonal Flap Bag Slim 10824 $75.00 |
|
|
COACH 12854 XL SMOOTH BLACK LEATHER LEGACY ALI FLAP TURN LOCK PURSE/SHOULDERBAG $49.99 |