Growth

Rich and Co.

Premium Pricing Can Win

leave a comment »

If you position it right (emphasing exclusivity, premium ingredients or service, and focusing on value rather than price) at least 5% of your customers will choose your super expensive option.

Indeed, many companies find that 20% or more of their clientele pick the uber expensive product.

And here’s another interesting aspect of premium pricing: even if nobody at all buys your premium offering, they will think your current products are cheaper, by comparison.

Advertisements

Written by Rich and Co.

July 1, 2011 at 9:17 pm

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: