You really do like the XXI century: you can run your business from anywhere you want, you dedicate your time to the things you like and you are always connected. Your customers also adore modern technologies and thus choose what suits them best. And they even choose price that seems affordable for their wallets. They just compare prices and goods in one tab and enjoy the experience which is impossible in offline stores. So establish proper pricing policy for eCommerce!
If your competition’s pricing policy turns out better, you have no chance to win. But you have us doing our best in order to help you to be at the top of success.
Just imagine. You see a perfect piece of furniture. You like everything: color, size, material, shop, and the price is exactly what you are ready to pay! You go to the cashier and it turns out that you have to pay extra 50%. Shipping, VAT, customer service charge, whaaaaat? Still eager to buy? So do your clients. Be honest and treat them like you want to be treated.
Give the final price from the beginning.So, you’d better add all the extra costs. If a client put an item into a cart, that means that he agrees to pay what you ask. If the price grows, the purchase won’t be closed.
Pricing is a big deal
- It’s not a secret that pricing matters. Moreover, it is a determining factor when purchase.
- There are lots of engines which provide price comparison and generate 20% of traffic.
- People dedicate their time to hunt a great deals. And they are ready to wait for sale or any discount.
There are different strategies to fit any eCommerce pricing policy.
- Multiple purchase amount. This is a very popular strategy consisting in putting the same price for similar products or the same line of goods. It may cause impression that the items are cheap and client will buy some of them. But psychologists say that it can also be an obstacle because if the choice is difficult (the products are similar and the price is the same), clients prefer stop suffering and not to buy.
- Purchase amount with discount. If your goal is to sell a lot in a short time, this is the strategy you must follow. Think of any type of discount you can imagine: coupons, discounts, 3 for price of 2, sale, competitions, special offers… use your imagination! This type of deals will generate web traffic on your web page and… be ready to attend new clients!
- Purchase amount based on competition. First of all, invest your time in your competition analysis. Afterwards you will find out what pricing policy to apply:
- Lower purchase amount. If you decide to bet on a lower price, be ready to trim your margin. But be brave, it can benefit you!
- Higher purchase amount. Think of a better purchase offer. You want more money, but you can give a better service, provide with some nice compliments or add anything else to improve your USP.
- Purchase amount Keystone. This is a good pricing policy for unique products or not highly demanded ones in your eCommerce. Basically it is double costs of a product. This is the easiest way to count your margin. But multiply right: you have to calculate everything, the energy, the time resources, not only the price of supplements.
And the very last advice: try all these strategies to find the best pricing policy for your eCommerce and for your clients as well.
If you are still thinking of your own eCommerce, read our blog post How to open your own clothing eCommerce or find out what you can sell online to succeed in online business!