© 2011 Apptivo Inc. All rights reserved.

How to Have Your Price Increase Go Unnoticed

Did you know there are at least a dozen ways you can raise your prices and your customers

won’t even notice? Pricing isn’t all about logic. Our brains are programmed to notice some

things while not even seeing something else that’s right there in front of us.

For example, if you sell something for $9.99 rather than $10 it’s a proven fact you can increase

your sales anywhere from 5% to 15% all over a penny. Yet if change your price from $9.99 to

$9.98 it doesn’t matter. That’s because $9.99 or $9.98 are simply rounded to $9 by the brain so it

sees it as a $1 cheaper than $10.

To make the price increase on a product acceptable to the consumer just reposition that product.

If you change the consumer’s perception of the value they are receiving they will gladly pay

more. For example, a B2B newsletter that sells for $500 easily gets subscribers because they

compare themselves the $8000 consulting fee they might otherwise pay, making the B2B look

like a great bargain.

You can change your packaging and you can often ask more for your product. This simple

strategy can be implemented on your website in no time at all. Change the wording, change the

packages you offer, describe your products differently. It takes such a small amount of time, you

can increase your price, and your customers will gladly pay it.

FREE Time Tracking software at your fingertips.

If you have what’s referred to as a customer retention program learn how to make small changes

to your program to improve the perceived program’s value, while lowering your out of pocket

costs by changing what you give away. In essence they get less but pay the same so its

equivalent to a price increase.

Your competition also offers you opportunities to increase your profits. Every time the

competition makes a price move they give you the same opportunity. When used right you can

increase your profits, while always remaining competitive.

© 2011 Apptivo Inc. All rights reserved.

For example, let’s say you sell your widget for $4. If the competition sells theirs for $4.50 but

increases their price by 20%, you can follow suit and still be the lowest priced widget and

remaining the most competitive priced item while still improving your profit margin.

Increasing your price is a task that can be undertaken with great success when done strategically.

It’s all in how you present those price increases to the consumer.