Are You Declaring You're An Amateur By The Price You Charge For Your Product? - Get Articles by Allan Wilson |  |
> Get Articles > Pricing and Supply and Demand > Are You Declaring You're An Amateur By The Price You Charge For Your Product? Are You Declaring You're An Amateur By The Price You Charge For Your Product? Download as PDFAllan Wilson allanebookresellerkit.com Instante Ebook Businesses http://www.instantebookbusiness.com One of the most common mistakes I find is that new people generally charge ridiculously cheap prices. Everytime I see an extremely low price it has newbie written all over it. I have seen the following example on more then one occasion... I do a search on Goto.com for a product and I find someone at No1 position spending 50 cents per visitor to their site. I then go to their site to find they are charging $14.95 for a product through Clickbank. I usually have a little chuckle to myself because I know this person is trying to get lots of business by undercutting everyone else however usually they don't last long. Why? Consider these sums. Clickbank charge 7.5% + $1.00 per sale. So every sale from their $14.95 - 7.5% - $1.00 = $12.83 profit per sale. They are paying 50 cents per visitor, that means they have to make a sale every 25 visitors just to break even. Guess what? They've got no hope. They will loose money and quickly disappear, plus they have cheapened the value of their product in the bargain. So it is vitally important to charge the right price. After all you are in business aren't you? Consider the following... So how much money do you want to make from your Internet business? Let's say $100,000.00 dollars - a nice six figure yearly income! Well how are you going to do it? By earning $20.00 from an affiliate program or product? Do you realize it will take 5,000 sales for you to get there - ouch, that's hard going and let's be quite blunt about this - for most people it's NOT going to happen! So how can you reach a six figure income? The answer really is quite simple - By selling more expensive products! Believe it or not it takes just as much effort to sell a cheaper product as it does a more expensive one... Let's see what happens if you were selling products for $250.00, to earn your six figure income would only take 400 sales. Wow! That's much better isn't it? Of course the sum gets even better for more expensive products. At the end of the day DON'T cheapen the value of your product. If you believe in it and it is a good quality product then it is worth a good price. --------------------------------------------------------------- Allan specializes in providing ebook packages, reprint and master reprint rights packages. His website businesses are located at: http://www.instantebookbusiness.com http://www.ebookresellerkit.com ---------------------------------------------------------------- How useful did you find this article? This article can be downloaded freely from http://www.get-articles.com and used on your website or in your ezine so long as the author is credited and their resource box left intact. You should not change any links in the article, and where the article is used on a website it's links should be clickable. Please see our terms and conditions page for more information: http://www.get-articles.com/authors-publishers-terms.php |
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