WHEN I STARTED MY BUSINESS I USED TO OFFER HUGE DISCOUNTS ON MY SERVICES TO GAIN
AN ADVANTAGE OVER MY COMPETITORS
I was happy, at least for a few months.
Before I learned this important lesson.
Looking at it, discounting seems like a good idea but it has proven to be
devastating in the long run
Because of the following reasons
1. Continuous discounting attract customers who don't see any value. Just want
to buy for less price
2. Bargain hunters are no loyal customers
3. Bargain hunters are not nicest customers and they want more to be done in
less
4. Profit margins are low
5. Low price items project the product or service as low-quality
And after increasing my prices I realized it's equally hard to sell a higher
ticket item as compared to a lower ticket.
So what pricing strategy are are you following?
Let me know in the comment below
Posted by Naval Gupta on Facebook
link: facebook.com/groups/1682793061791838/user/1846370086/
AN ADVANTAGE OVER MY COMPETITORS
I was happy, at least for a few months.
Before I learned this important lesson.
Looking at it, discounting seems like a good idea but it has proven to be
devastating in the long run
Because of the following reasons
1. Continuous discounting attract customers who don't see any value. Just want
to buy for less price
2. Bargain hunters are no loyal customers
3. Bargain hunters are not nicest customers and they want more to be done in
less
4. Profit margins are low
5. Low price items project the product or service as low-quality
And after increasing my prices I realized it's equally hard to sell a higher
ticket item as compared to a lower ticket.
So what pricing strategy are are you following?
Let me know in the comment below
Posted by Naval Gupta on Facebook
link: facebook.com/groups/1682793061791838/user/1846370086/