Price Your ClickBank Products for Maximum Profit
?>
Download eBooks and Software
 The Lotto Black Book
This Radical Approach To An Online Sales Letter Converts In The 3-5%... We've Never Seen Something Like This Since The Early Days Of 2004-2005 And I'm Sure You Haven't Either... We Convert More Than Our Competition And We Pay Out More... Try It!
How To Create An Iphone Or Ipad Apps And Games Succeed In App Store!
Discover How To Create An Iphone Or Ipad App&game And Hit Pay Dirt With It In The App Store! 60% Commission + Bonus. Awesome Member Area With Full Video Course. All You Need To Know On How To Start App Business With No Programming Skills At All!
Legit Online Jobs
Completely Redesigned For 2012! New Pricing = Higher Conversions And Lower Refunds. 24/7 Support Converts Even More Visitors Into Customers. Visit Http://www.legitonlinejobs.com/affiliates To See How Each Visitor Can Be Worth Well Over $200.
Articles > Online BusinessPrice Your ClickBank Products for Maximum Profit
by: Tim Coulter Choosing the right price for your digital products is one of the most critical, yet difficult, aspects of your business strategy. Most merchants understand that over-valuing a product kills sales. It is also fairly well understood that under-pricing cuts the unit revenue without any guarantee of a significant gain in sales volume. But few people are aware of a third (but equally important) pricing observation; that compromise pricing can be as harmful as either of the other two blunders. To understand why this is the case, we need to examine the principles that lie behind effective pricing strategy. In general, merchants adopt one of two key philosophies when they price a product. They either set the price at a low level (which produces a low margin but high sales volume), or they choose a high price level (which trades off volume in order to gain margin). These two approaches are known respectively as "penetration pricing" and "pricing for profit." The former strategy is typically used by new competitors in a market, or by existing retailers that need to quickly establish a position of dominance after a product launch. The latter technique is favored by established businesses with mature products, where the objective is to earn the maximum profit yield from an existing dominant market position. It is clear that, whether the strategy is to price low or high, going too far in either direction can be self-defeating. But mid-way pricing is equally ineffective, as it compromises both strategies; it unnecessarily discounts the product without doing so sufficiently to generate a significant improvement in volume. As a vendor of digital merchandise, you are at a distinct advantage over traditional merchants, since there are no marginal costs associated with your business. Regardless of how low you choose to price your product, you are still guaranteed to show a gross profit on every sale. In contrast, a merchant of physical goods has real fulfillment costs (product manufacturing, damaged and unsold inventory, storage, shipping and handling) that impose a fixed lower price limit below which each sale represents a loss. This advantage affords you great flexibility in your pricing, but even if you use this flexibility to pursue a penetration pricing strategy, you should still be aware of the risk of counter-productive price-cutting. Some ClickBank merchants use an experimental approach to pricing. Their aim is to establish the most profitable price through trial an error. Although this is understandable, even logical, it can be a customer-relations nightmare. You should think carefully before over-pricing a product and subsequently being forced to reduce the price in order to stimulate demand. Nobody likes to return to a website and see that a product they already purchased is now being offered at a lower price. The opposite approach is to steadily increase prices from a low level, and is usually less of a cause for concern. Some merchants launch their products with a deliberately low introductory price - a benefit that they emphasize in their sales pitch. The time-limited, or volume-limited, nature of this technique can be a powerful incentive to buy, and it also allows the merchant a trial period in which to observe sales behavior before setting a definitive price to meet his longer-term strategic objectives. About The Author
Copyright © Tim Coulter. All rights reserved. Tim Coulter is a consultant and software developer who helps netpreneurs to harness marketing technologies. He is also the author of "ClickBank - The Definitive Guide" The Ultimate ClickBank Tutorial & Reference Manual.
http://www.clickbankrevealed.com/
|
?>
News on Online Business
McGraw University Introduces New Online Business Degree Programs to Match Employers’ Needs
McGraw University adds in new courses to the current business curriculum in order to increase the relevance to the current job market trendsArlington, TX (PRWEB) May 25, 2012 McGraw University, an accredited leading online university that has been known around the world for its improved learning services for working adults has announced that it has introduced fresh courses in its Business and ... Online CRM Provider Really Simple Systems Increases Web CRM Adoption With Intelligent Data Import
LONDON, May 24, 2012 /PRNewswire/ ---Innovative data import solution increases usability and simplicity of online CRM, web CRM and small business CRM system-Really Simple Systems http://www.reallysimplesystems.com/ ... Raising Funds for Your Online Business: Show Me the Money!
Tax guru Barbara Weltman explains the options available for obtaining capital for your growing ecommerce business. In Part 1, she discussed the pros and cons of borrowing money (debt) vs. taking in investors (equity) - see Raising Funds for Your Online Business: Debt vs. Equity . Today, she discusses where to look for debt and equity financing and some pitfalls to avoid. A SEO package to help build your online business
What do we offer in websites that improve SEO? Our website packages allow you to feature your business with a customizable webpage built with the latest search engine optimization (SEO) tools. Through these SEO tools, as well as coupons and special deals and premium placement in your local online directory, you can maximize online traffic to your business. Landrieu Seeks Partnership with Google On Get Your Business Online Event for Lafayette
WASHINGTON - Today, Senator Mary Landrieu (D-La), Chair of the U.S. Committee on Small Business and Entrepreneurship, requested that Google Inc. bring their highly successful "Get Your Business Online" (GYBO) entrepreneur event to Lafayette, Louisiana. GYBO gives small businesses free online tools to create their own website and provides training about the process. In fact, Google has held GBYO ...
|
