4. Profitable Pricing- Email and Social Media Copy

Update 1:

Can a 1% price increase really deliver an 11% profit increase

It is proven that the fastest and most effective way for any business to realise its maximum profit is to get its pricing right. The right pricing structure can boost profit faster than reducing costs or increasing your sales volume, on the flip side the wrong pricing structure can shrink your profits just as quickly. (Link to the URL for the blog or BBS).

Update 2:

Studies prove that pricing has the biggest influence on the profits of your company

Two studies by McKinsey & Co and A.T Kearny (both global consulting firms), suggest that pricing has the biggest influence on the profits of your company.

With such extreme profit leverage pricing is one area that a company can always improve, it is, in a nutshell too important to ignore or treat lightly.

Please click here (Link to the URL for the blog or the BBS report) to read the details of these studies.

Just think – what impact could better pricing have on your bottom line profits?

Update 3:

Do you assume ‘the price is right’?

Many business owners are guilty of believing their current pricing process needs no review, they are reluctant to investigate initiatives to improve price for fear that they will alienate, frighten or lose customers. The result of not managing price performance however is far more damaging. Getting your pricing right is one of the most fundamental and important functions for any business manager and should be the first job undertaken. Read here to learn that providing your buyers with well thought out and carefully planned pricing options gives you a competitive advantage. (Link to the URL for the blog or BBS)

Update 4:

Take control of pricing and give control to your buyers

We all like choice, too much choice can be mind boggling and overwhelming but we also don’t want to be offered just one choice, we like to feel in control, like we have made the decision and had the tools to make the right decision, this gives us a sense of power and ownership of the final decision that we have reached and invariably means that we are happy and satisfied with the outcome.

This is especially important when you are buying and even more important when you are selling. Read here how giving your buyers control of the pricing options can dramatically improve the success and profits of your business. (Link to the URL for the blog or the BBS)

Update 5:

No-one likes an option of one, provide successful pricing options and watch your profits soar

No-one likes to hear the phrase ‘you can have any colour you want, as long as its black’ This is called ‘Hobsons choice’, we resist ‘Hobsons Choice’ as it is very much ‘take it or leave it’ and it removes our sense of control.

Knowing this, why would you want to offer a buyer just one price. Providing your buyers with a carefully structured, measured and testing pricing plan will give them more control and you a competitive advantage. (Link to the URL for the blog or the BBS)

Update 6:

In the 21^st century buyers want pricing choices, give your buyers back control

In the 17^th Century Thomas Hobson ran a carrier and horse rental business in Cambridge, England. Hobson rented out horses, mainly to Cambridge University students, but refused to hire them out other than in the order he chose. The choice his customers were given was 'this or none'; quite literally, not their choice but Hobson's choice. We resist ‘Hobsons Choice’ because of a deep rooted need within us all to feel a sense of control, that we are the decision maker not ‘Hobson’, that what we have chosen was exactly what WE wanted not because that was all that was available. This is why the way you price your products and services can have a massive impact on the growth and profitability of your business, give your buyers options, choices and allow them to make the decision. They win and so do you!

Read here how control for the buyer is at the heart of the pricing process. (Link to the URL for the Blog or the BBS)

Update 7:

The path to profits through pricing does not have to be difficult

Pricing does not have to be complicated, in fact if it is your buyers will lose interest as they struggle to understand the process and the format of your pricing system.

How you price your products and services can have a radical impact on the revenue you make.

Searching for the perfect pricing model can be difficult and initially you may get it wrong. In fact, to eventually succeed your model MUST be tried and tested.

3-tier pricing options give your customers more choice, instead of choosing between you and a competitor, you’re allowing them to choose between you and you. Make your pricing options work for everyone. (Link to the URL for the blog or the BBS)

Update 8:

Learn from the some of the best companies in the world, tiered pricing can influence your profits in a way you never thought possible.

It is hard to guess what a buyer will pay, offering one price gives you one guess, which could be wrong, offering 3 prices and your odds improve. Offering pricing options is logical, yes? as different people will pay different prices, improve your odds by offering options.

The object is to make your business better, don’t wait any longer to tier your pricing, otherwise, you are leaving money on the table.

If companies like Trip Advisor, EasyJet and Apple believe that tiered pricing is the way forward can you really refuse to ignore it.

Read here (link to the URL for the blog or the BBS) to learn how top-down 3-tier pricing can make a real difference to your bottom line.

Update 9:

Create real value for the buyer through 3-tier pricing options

People want to know they’re getting the most bang for their buck. By allowing your buyer to pick a price for a product or service for themselves – one that includes what they want at a price they prefer – you create a sense of maximized value, they feel in control of the decision they are making and therefore ultimately will be happy with the price they are paying. Try a new 3-tier, top down pricing structure now and see the rewards for your business.

Update 10:

Use pricing anchors to provide real value and choice to your buyers

We depend on anchoring every day to predict the outcome of events, to estimate how much time a task will take, how long it will take to get somewhere or how much money something will cost. When we need to choose between options it’s preferable to have an estimate or approximate value. That’s why pricing anchors are so important to buyers, everyone needs starting points and if done effectively anchoring can be included in a pricing structure without the buyer even realising. Read more here on the effectiveness of pricing anchors to tiered, top-down pricing structures. (Link to the URL for the blog or BBS)

Update 11:

Use pricing anchors to make top-down, 3-tier pricing work for your business

When you understand the value of pricing anchors, you can then see how important they are in tiered pricing and how top-down pricing can be used very effectively to demonstrate to your buyer that you have provided different versions of the same product at different prices, while subtlety driving them towards to price you want them to pay. For more information on the effectiveness of pricing anchors in 3-tier, top down pricing please click here (Link to the URL for the blog or the BBS)

Update 12:

Use pricing anchors to ensure maximum profitability in your business

Anchoring is profoundly important to ensure that your pricing increases your sales and profits. Tversky and Kahneman (Nobel prize winners on this subject) rigged a carnival wheel of fortune to show only a 10 or 65 and then asked very specific questions to the players. The results demonstrate the power of anchoring to a higher figure as 45% of the people that had seen the wheel land on 65 provided answers nearer to this number. Read more on this example and try the fun games in the downloadable tools on the link in the blog and you will prove to yourself and the group you work with, the simple and effective power of anchoring. (Link to the URL for the blog or BBS)

Update 13:

Mastering the science of pricing and applying it to your business is a source of far greater profits.

McKinsey, the global consulting firm, suggest that pricing has a bigger impact on your profits that anything else.

Every business owner who is serious about profit growth should be equally serious about the science of pricing. (Link to the URL for the blog or the BBS)

Update 14:

There is no right and wrong to mastering the science of pricing, the key is to have a go.

Here are 4 helping hands for you and your business to master the science of pricing

· Collect 3-tier pricing examples

· Build a ‘pretend’ offer for your business

· Test and measure with real-life buyers

· Keep testing. Make price testing something your business does regularly. (Link to the URL for the blog or the BBS)

Update 15:

Take pricing seriously and turn a jog to profits into a sprint.

When you take pricing options seriously you may stutter and stall along the way, this is perfectly normal, but only when you start testing customer response to different pricing options will you discover which options deliver the best profits for you and your business. (Link to the URL for the blog or BBS)

Update 16:

Pricing, don’t avoid the subject it could take your business to new heights

Pricing can be a difficult subject to tackle and even more difficult to get right, both for a multi-million-pound company or the local hairdresser on the high street. Buyers are now more savvy, they have more options, they can very easily compare your price to the competition and therefore their expectations are much higher. However, to not even try to get your pricing right will mean that you never tap into the higher profits your business could be generating. (Link to the URL for the blog or the BBS)

Update 17:

There are always things to be learnt about the subject of pricing, even if you think you know everything.

In his brilliant book Priceless – The hidden psychology of value, William Poundstone has done a fabulous job of pulling together some of the best science about pricing.

He recognises pricing as a much richer subject than most people imagine and provides a truly eye opening account of how the pricing of products affects how we think of them.

Poundstone shows how behavioural decision theory has revolutionised the pricing strategies of major corporations. The book also includes many fascinating behavioural experiments and is packed with real life examples of why pricing is so important and the tricks that companies use to sell their products and services. (Link to the URL for the blog or the BBS)

Update 18:

Question, test and implement your pricing processes, only then will you see the maximum gain for your business.

How do you know if you are making the most profit from the current pricing structure you offer your customers? When did you last review the way you price your products and services. How do you know if you if your current pricing structure is delivering the maximum profits to your business? In this Business Bitesize you will find all you need to navigate the minefield that is pricing. (Link to the URL for the blog or the BBS)