Are You Charging Too Little?
One of the fastest and easiest ways to generate more income in your business is to raise your prices.
Most business owners are afraid to test the price elasticity of their offerings but surprisingly most businesses are undercharging for what they offer and with better marketing their prices can become even more elastic.
We've not only found this to be true through personal experience in our own business but also consulting with many clients as well. Very frequently we find that prices can be raised immediately which can create an automatic cash surge in net profit and with the implementation of some good marketing the price can go even higher in a short period of time with minimal loss in customers but a huge increase in customer value.
For those of you out there that are saying, "I can't raise my prices, you're crazy." Think again. Most likely, you have a lot of customers who are price shopping you and haggling over price.
This happens because you've put yourself in the commodity game by not demonstrating WHY your product/service is better. You've delivered no buying preference to the market. With no buying preference you've given your prospects no way to choose you besides comparing prices. When there's no other deciding factors, it comes down to cost.
You're most likely just selling the same widget as someone down the street and not creating any value in your expertise or uniqueness. Only talking about the features of the widget you offer which are the same features everyone else who sells similar widgets are using is a recipe for low grosses and a mating call for tire kickers, price shoppers and annoying customers.
Stop selling products and start selling you, your expertise and the experience of doing business with you. It's not as hard as you think and there are lots of people out there who are willing to pay significantly more for just something that seems just a little better.
Check out this link below to a recent news article about Serendipity 3 who just came out with the world's most expensive desert. A $25,000.00 sundae. It's just sugar and coco and some real nice packaging to go along with it.
The thing is not to balk about raising your prices. The key is to think about how you can turn your product and service into something more, something that will allow you to charge more and put more profit in your pocket.
You never know what you can do until you test it.
For mere $25G, Serendipity offers a bit of chocolate heaven