Why is a Pricing Strategy important?
Pricing strategy is important because consumers often associate low price with low quality. For this reason, even-based discounting is important to make the shopper feel that a unique opportunity is present.
Calculate the “true” cost of your products and services.
The true cost of a good is not the price you pay for it, but rather it is the costs involved from the moment you pay for it until the point that it gets to your customer. The true costs include all the costs of storing the good and delivering the good through to the end customer.
ROI = (Profit – Investment)
Investment Profit = Revenue – Cost
Create a unique series of events every six to eight weeks and discount products. This creates and attracts a lot of attention. Some examples include celebrating your personal birthday week, business anniversary, and Independence day.
Make your best customers feel special!
Segment your best customers and treat them special. You can begin by setting up different newsletters for different sign-up forms on your pages – different for each article. For example, creative articles are linked to a free creative report, thus making a list specifically for creative members of your blog. This way, you know what each person on your list is interested in by segmenting your list according to which page they used on your site to sign up.
Discounting your products to these special customers helps to keep them both happy and loyal, whilst also helping raise extra revenue from items they otherwise might not have purchased.