People can build one way links for free. Well, many people are ok and they take it seriously.

But some, just because it is a free service and they already take it for granted, start thinking missing the point.

But, once you remind that one link of that kind costs $6 on the market, or once you put a paid option of building links – this instantly changes the attitude.

Clients start thinking “Hmm, this is what they might be taking from me – ok, let’s get some of the stuff for free, before they convert it into a paid version.”

Free vs Paid sometimes makes magic in the marketing.

Whereas a cheap book you’ll probably just browse through and never actually get around to doing anything with it.

By charging a premium price, it causes a greater motivation to deliver premium content. Not saying that is right, but I think naturally we tend to think like that more. I remember when I was thinking about putting together a $7 club with some friends, I didn’t nearly put the thought or effort into the content as I did with a Membership site I am doing. After realizing I was thinking like that. I decided to make a change in my thinking, another reason I like Yanik’s #2 Rule. No matter the the price, over-deliver…

“Peter Koning” said above don’t look out only for the ROI also think about the backened profit you can earn with paid customers. That is also a great plan. I would need to test that as well.

Looking forward to more great stuffs.

In my own work, I have my standard pricing (which would be affordable only to a small % of people or large corporations) and my philanthropic programs (which offer the same value and level of service to the mainstream folks at an affordable price — after all, why shouldn’t they also have access to quality information — startups need it even more I would think).

How we price our products and services says more about how we feel about ourselves and our work than it says about the quality of what is being provided in many cases.

But one thing is for certain, whatever the price my client or student is paying, I’m delivering a minimum of 10x the value — that’s been the key to my success and I’ve been in business and at the top of my game a very, very long time.

Funnily enough, I love my work so much, it doesn’t feel like work and I’d do it even if I wasn’t getting paid for it. Of course, working for free doesn’t put food on the table or a roof over your head so… I do charge and I’m worth every penny you’ll pay and then some.

Linda M. Lopeke
The SMARTSTART Coach

I think it really comes down to your target audience…

Let’s say if I am doing an e-course for people getting started in a home based business, I’m probably going to charge a lesser amount because I know most wont be able to afford a premium price, but still offer tons of value. Now if I was going to offer some kind of course to let’s say “guru status” marketers, there is going to be more of a premium price tag to it. Plus the content will be much more advanced.

Once again, I look at what Yanik Silver is doing with his Maverick Business Adventures…
You could go out and do the same things for a lesser amount by yourself, but he charges a premium price to deliver a premium experience that you would never have if you did it by yourself. I hope that makes sense.

I guess all of this shows the importance of really thinking things through and testing the niche you are going after before just jumping out and doing it.

Thanks again everyone for your comments!

Keep up the great work!

For example you may measure “Earnings per click” at $37 and $77, and discover that you make 10% more at $77. But is $77 better?

Well if you have a higher priced “upsell” product then you might be better off with the $37 price point.

Why?

Because at the lower price point you may make a little less per click, but you will have almost 2 x MORE paying customers. In the long run this could be more profitable for you as you grow your product/service offering funnel.

But yes, be careful not to go too low just to get way more customers, as you’ll find the customers who are close to freebie seekers are possibly not serious about investing in higher priced and higher value offerings.

Do you take your higher priced product and scale it down for the lower price point, or do you do something completely different?

For services, it’s not as hard to guess right. There’s the *rate* you charge. Period. Well, except for friends and family. Or long term clients. Well, and the one you are trying to land. Okay, I am wrong. Services might be harder to get right.

As usual, you are forcing me to think it all though, so thanks for sharing this post.

Cenay’