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Price Point Desire, by Mark Blezard

Updated: Jan 28, 2021

I’ve spoken a lot about price points, perhaps because it is so important.

Previously, it was more to do with the problem of sales executives discounting, folding on the first request for cash off. Then I wrote about the fear of competition, suppliers with similar items that are marginally cheaper in price.

This post is a far more simple – yet essential – point that has to be fully understood, ‘Price Point Desire’. You see, how you price something fuels customer desire, ‘wants’ not ‘needs’. Think of it this way, a simple price tag tells the customer more about your product than a 10 page instruction manual. That bit is not actually true but, to the customer, it does.

Just like my previous articles about consumers becoming a generation of ‘scanners’ [we no longer read, we scan], your customers are gleaning more than you think from your price.

A couple of takeaways. Firstly, caution. There is a fine ethical line in sales here, not to package up rubbish and disappoint the purchasers. Secondly, for new product launches, never start at the bottom and try and work up. Always publish the top rate and discount (with reason) thereafter.

Price Point by Mark Blezard

A price tag can be all you need to sell.

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