Put a Price to make a Sale

Discussion in 'Growing and Managing a Business' started by Nazreen, Sep 4, 2008.

  1. Nazreen

    Nazreen
    uix_expand uix_collapse
    Member

    Joined:
    Apr 16, 2008
    Messages:
    1,727
    Likes Received:
    40
    I go shopping at least twice a week and sometimes I come across some merchandise that doesn't even have a price tag on it. Unless I'm totally interested in this product, I wouldn't even bother asking the sales staff about the price and just move to another shop.

    When also looking for a place to rent, I also normally skip those without a price mentioned in their ads. In these situations, I just ignore the product because I would be assuming that their product is probably priced more than I would want to spend.

    This is not exclusive to brick-and-mortar businesses but also to online businesses. If you don't put a price on your product or services, you'll be in a lose-lose situation because you'll missing out on a lot of purchases.

    So next time you set up a shop or online store, don't forget that little but very important matter - the Price Tag!
     
  2. Fergal

    Fergal
    uix_expand uix_collapse
    Premium Member
    Premium Member

    Joined:
    Nov 18, 2007
    Messages:
    10,578
    Likes Received:
    1,163
    I'm with you on this one, I personally hate seeing items in a store without a price and like you I usually pass on the item and buy something else or even somewhere else.

    Obviously some services cannot display a price, because they are customised. E.g. it would be difficult for an architect to advertise their prices because it their exact price will depend on the complexity of the plans required by the client.
     
  3. Nazreen

    Nazreen
    uix_expand uix_collapse
    Member

    Joined:
    Apr 16, 2008
    Messages:
    1,727
    Likes Received:
    40
    As with every rule, there's an exception and the architect's services is a good example of that. In this case, I think it would be good if the clients can still see some estimates for past projects that the architect has completed.

    Speaking of price, the price you set on your products or services should be competitive so you should have checked the competition first before deciding on the price. Checking on your competition should not be a one-shot deal and should be done regularly. So when your competition lowers his price, you would know of this and act on it immediately.
     
  4. Fergal

    Fergal
    uix_expand uix_collapse
    Premium Member
    Premium Member

    Joined:
    Nov 18, 2007
    Messages:
    10,578
    Likes Received:
    1,163
    Giving details on the costs to complete previous projects is a good idea. I agree that it is important to keep an eye on your competitor's pricing so that you can react to it accordingly.

    Many service providers will also adjust their prices in line with demand. They will increase prices when demand is high, and reduce them when sales / orders are dropping. There may be times when you have a lot of work on and you can sustain high prices even when your competitors drop theirs.

    It is also important to note that price is only one element in the purchase decision, businesses that are perceived as offering a higher quality of service or product can charge more.
     
  5. DEADMAN

    DEADMAN
    uix_expand uix_collapse
    Member

    Joined:
    Apr 5, 2008
    Messages:
    641
    Likes Received:
    3
    The products with no price tags are usually sold at any high price (usually randomly) because the only intention is take profit from such product from seller. Don't expect that you managed to lower the price and bought that product with no price-tag because anyhow the seller is taking alot of profit from it.
     
  6. jigyasa

    jigyasa
    uix_expand uix_collapse
    Member

    Joined:
    Sep 22, 2008
    Messages:
    33
    Likes Received:
    0
    Undoubtedly any product without a prior price tag seldom gets enquired about. But with services too, it is better to get a complete estimate way before you start.
     
  7. vlada

    vlada
    uix_expand uix_collapse
    Member

    Joined:
    Sep 23, 2008
    Messages:
    38
    Likes Received:
    1
    I am not absolutely agree with you. I think that sometimes it is the special marketing trick. And with the help of such trick the seller wants to catch your attention.
     
  8. Nazreen

    Nazreen
    uix_expand uix_collapse
    Member

    Joined:
    Apr 16, 2008
    Messages:
    1,727
    Likes Received:
    40
    Can you give an example of this Vlada? In my experience, those products and services which have price tags have a more chance of being noticed and being sold.

    The only exception I can think of are services like that provided by architects and also in fairs and garage sales where people already know that the prices are low and people can bargain.
     
  9. vlada

    vlada
    uix_expand uix_collapse
    Member

    Joined:
    Sep 23, 2008
    Messages:
    38
    Likes Received:
    1
    Tricks of marketing.

    I have read several posts about price tags on the products. I think that the majority of people think that those products and services which have price tags have a more chance of being noticed and being sold. It is the right statement but only in general. When you work with products with really very big price, there is no need to use price tags.
    If you need more examples, please go to the very expensive restaurant. You will not see prices in the menu. It is marketing trick. If you pay attention to the prices then you havenĀ“t enough money to eat in such restaurant!
     
  10. Fergal

    Fergal
    uix_expand uix_collapse
    Premium Member
    Premium Member

    Joined:
    Nov 18, 2007
    Messages:
    10,578
    Likes Received:
    1,163
    Threads merged.

    You have a point there Vlada. It's the exclusivity concept that runs along the lines - "if you have to ask the price, you're in the wrong shop".
     

Share This Page