Why increasing your prices can make you more money
Finding the right price for your product is hard, but it's worth giving it some extra thought. Correct pricing can make a huge difference in how much money you make. Read on for our top tips on how to find the right price for you!
Decimals matter. A lot.
If your product costs less than $100USD, research shows that customers react well to a price ending in “99”. For example, a $20 product is likely to sell less than a $19.99 product.
The reason is simple; our brains like to ignore the decimals making us think we’re buying at a better price. Similarly, a product priced at $39.99 might sell more than a $37 product even though the price is higher. Use this to your advantage to boost your sales starting today.
Avoid strange numbers
Just like we react well to a price ending in “99”, we react negatively to a price ending in a strange number. The price $14.99 is far more pleasing to us than $14.37.
Know you value
We associate higher prices with better quality, so make sure you’re not selling your products too cheap as it may have the opposite effect. When setting a price, ask yourself the following to help find the value of your product:
- Are there many other products similar to mine? A Houdini tutorial is much rarer than a basic human basemesh.
- Is there anything special about my product? If you’re selling a basemesh, is it production-ready with good topology, UVs, eyes, hair, teeth, blendshapes and textures, or is it a basic sculpt without a face and topology?
- Does my product solve a major problem for the customer or save them a lot of time daily?
- What is the quantity vs quality of my product? Selling a 5-hour edited and fully narrated tutorial is more valuable than a 10-hour timelapse without narration.
Add commercial & custom licenses
Always add a commercial license to your product. The general rule is that a commercial license should be 5-10 times higher than your personal license.
If you want more affordable pricing options and licenses for freelancers or small studios, you can add as many custom licenses as you want.
If in doubt, experiment!
There’s nothing wrong with changing your prices for a few months to see if it makes a difference, or to try and release your next product at a different price. We do this all the time at FlippedNormals to figure out the best price for our own Exclusives.
We hope you gained some useful information you can use to maximise your earnings. If you don't have a store on FlippedNormals yet, you can apply to open one right here.
