Pricing stratagies
What are your pricing stratagies?
For me, i like to start off low, maybe even just breaking even for a few days (to get my item further up in the listings, im not sure if it actually works but i still do it) then increase it.
I had 10 sales over the weekend, at a break even price.
about an hour ago i increased the price by £3 and ive had 4 sales, in the past hour...
My theory is, buyers are happy to spend an extra £3 as it isnt much more expensive, but it also gives the impression of a higher quality product.
Some times i feel i could loose potential buyers because the price is too low (even when i increase the prices, the price is still cheaper then the shops and even other websites selling the same or similar products), and they feel the product is very poor quality, based on the price.
sometimes if i am researching a product, i will be draw to the most expensive option. Sometimes i will set my sights on that, because i want a superior product.
Im not sure how far i can push it, as i obviously want to increase the price by another £ or 2. But then again, not everyone thinks this way.
Does anyone else have any theories on prices strategies, or can anyone relate to what im saying? |