Welcome to this week’s Marketing Minute. So, what does ego have to do with selling products or services? Everything!
No matter what business you’re in, a certain amount (and probably more than you think) is always driven by ego.
In other words, if you offer packages A, B and C, a certain percentage of your market will ALWAYS buy the more expensive package.
Why? For one thing, in our society, a higher price is synonymous with higher value. And two, people have an overwhelming and indisputable need to stroke their egos, to be seen as part of the privileged few. It sounds silly, but it’s so very true. It’s not just keeping up with the Joneses, it’s surpassing them.
Need proof? Just take a walk around a local cell phone shop. How many people walk out of those stores with the most functional phone and how many walk out with the “coolest” phone? Believe me those Razor and Chocolate phones aren’t selling because they’re the best. They’re selling because they’re a status symbol. When people renovate a kitchen, do they get the most economical cupboards, counter-top and tiles? NO!
This is a crucial reality you must understand and capitalize on if you want to tap into the “Now” Money in your business. Remember last week minute?
So how do you incorporate this principle into your pricing structure? By doing 2 simple things:
Raise your prices If your prices have been sitting at the same level for more than a few months, raise them. I don’t care if it’s by 10, 20 or 100%. Raise them. Nine out of every 10 clients I consult with are NOT charging enough for their services. Now, for those of you who are thinking, “But everyone else in my field sells their services/products for “x” then you really need to pay attention to number 2.
Bundle your products or services This is especially important if you have a commodity business. You need a means of separating yourself from the competition and bundling can be just the ticket. Instead of selling your services or products piece-meal, create packages with high perceived value.
The thing you have to remember about most people is they don’t want to waste time thinking…about ANYTHING! The easier you make their lives by giving them a related bundle of services or products, the happier they’re going to be. Not to mention the more they’ll spend.
Just think about your local car wash. You can purchase the Basic package, the Premium package or the Platinum package. It’s a heck of a lot more effective than saying, “Would you like the vacuuming to include the trunk? A wash too! And how about a hot wax? Would you like your interior sprayed with Armor-All? What about wiping down the windows and spraying some of that new car smell while we’re at it? It’s just too much work and here’s the kicker…you wouldn’t be able to charge nearly as much!
You see car washes got smart a long time ago and you should too.
If you would like to learn more about the Marketing Strategy we reviewed today or learn more about this or any of the other AMS’ products, services and Marketing Programs and how we can turn your prospects into profits, go to www.automatedmarketingsolutions.com/home or call us at 800-858-8889 right now! Next week I will talk about the 2 Cardinal Sins you cannot afford to make with your marketing.
To your marketing success,
President and Founder
Automated Marketing Solutions