Let's face it, we all love a bargain. Especially this girl!

The easiest way, therefore, to make an expensive product attractive is to lower the price. But, sometimes a discount isn’t the right play. Whether you refuse to lower the quality of materials or your shipping costs just doubled, a higher price tag doesn’t have to scare customers away. It’s important we know our value and let our product shine, even without a sale sign.

The “It” Factor

Most customers can justify spending the money if it’s higher quality. By creating a service or product that is meeting an unmet need or taking it to a new level, we can bring home more customers. You can achieve this by highlighting things that your product does better than competitors and by showcasing award badges and positive reviews. Make sure that aspects like web design, signage, product photos or packaging are all high quality to reflect the quality of your product/service. Using words related to luxury can also help to suggest that your product is high quality.

This post may contain affiliate links. All opinions are mine.
It is my Universe, after all.

Be clear and distinct(ive)

When parting with lots of money, customers often want to be sure that all the details meet their specs. Making the customer feel unique and special when wearing/using the product is essential to maintaining a price point. When it comes to e-commerce, consider providing a phone number or virtual chat feature to allow customers to easily ask questions.

Break It Up to Stay Together

Let's be honest, not everyone has a mattress filled with money somewhere. Payment plans and financing options can make your premium price tag a lot less scary. A must, however, is to accept credit cards - these are often the most convenient way of enabling customers to pay in installments, even if you do have to pay a merchant fee. Offering both allows the most flexibility to customers, just remember, payment plans might mean you don't get the full amount upfront, so factor that into your strategy..

Put a spin on it

Ever wonder why so many prices end in ".99"? Psychologists have found that certain ‘charm prices’ are more attractive to us - certainly my husband! - even if we’re only saving a penny. In fact, studies have found that ending a product price in ‘99’ instead of ‘00’ (e.g. changing a $100.00 to $99.99) on average increased sales by 24%. Ca-ching!!! It seems that ending prices with ‘97’ and 95’ can also be very effective.

Another pricing strategy involves deliberately introducing a product to the market at a much higher price than intended so that you can discount it to a lower price and make it seem more reasonable (e.g. advertising a sofa as $2400 at first so that you can discount it to $1699). Suddenly, that real price seems like a steal!

Give Me, Give Me, Give Me!

Everybody loves a freebie!

Offering small extras for free or discounted price may also help customers to feel they’re getting more for their money. Insert picture of me waving my head wildly. I grew up with Estee Lauder and Clinique trying to outdo each other with their “Free Gift with Purchase”. Nothing made spending my entire allowance plus babysitting better than that extra haul!

None of us are a multi-billion dollar cosmetic company, however, so make sure watch that you give something that creates a long-term customer and doesn’t break the bottom line..

Know your worth

At the end of the day, we have to decide our value. The price of our service or product represents the hours we put in and the work we have created. Don’t run from the price. Show why you’re worth it!

Check out this episode of “the pebble” for another Finance Friday.

Finance Friday — Because I’m Worth It