Tag Archives: Entrepreneurs

Buyers hate price increases more than they love discounts (Prospect Theory). Therefore don’t raise your prices(!) A marketer with a high enough “basic” price can merely reduce the amount of the offered discount. This can be a 2-step process. 1. Raise your basic price, but increase your discount so your customers pay the same asContinue reading “Buyers Hate Price Increases”

The relationship marketer desires information on customers to better market them in the future. One way to do this: Set prices high and offer discounts for providing more information. Source: The Tao of Pricing See also: 47 Ways to Raise Prices …Without Losing Customers. #pricing psychology #pricing strategy #entrepreneurs

Free samples of compelling products build life-long customers. Examples: Food in grocery stores, free chapters of books, free first novels in a series, or free samples of almost anything used frequently. However… this technique is so powerful society must beware when the product is addictive, e.g., cigarettes and hard drugs. Source: The Tao of Pricing.Continue reading “Free Samples”

If business prospects can accurately measure the the sales your product delivers, give discounts or even a free sample so they’ll try you. Example: A direct-response advertiser will buy frequent ads IF the ads make them money. Show them — with a free ad if necessary — your blog/publication/website will do so. Source: The TaoContinue reading “Pricing for Business Prospects”

If you must negotiate prices… consider only price requests accompanied by a signed order for the product at that price. Source: The Tao of Pricing See also: Pricing Psychology Report. #pricing strategy #entrepreneurs

Beware the wily negotiator. Customers who ask for discounts because they don’t need one of your product’s features, should get their discount ONLY for your product WITHOUT that feature. Source: The Tao of Pricing. See also: Pricing Psychology Report. #pricing strategy #entrepreneurs

Receiving something is always more profitable than receiving nothing. Consider this when setting your price on hard-to-sell inventory, remnant airtime or space, or hours you’d otherwise spend contemplating your navel. Source: The Tao of Pricing. See also: Pricing Psychology Report. #pricing strategy #entrepreneurs

The more a customer buys of your product, the more price sensitive the customer is. Large purchasers are why volume discounts were invented. Source: The Tao of Pricing. See also: Pricing Psychology Report. #pricing #entrepreneurship