Price Point Strategy

What is your price point strategy?

Or for many internet entrepreneurs, maybe I should be asking if you even have a strategy to your price points?

If you look at my business, you’ll see I have products at multiple different price points:

Low Priced Lead Generators

Do you really think I see as a major income generator?

No I don’t. It’s a lead generator. The product is using the $7 secrets script so that affiliates can promote it and keep 100% of the money (all buyers are able to promote it).

As a sidenote, I originally priced it at $7. I tested it against $9.95 and $10. Ten dollars even has been the best price for it by far (I’m going to be testing it a little higher soon as well such as $12 and $15).

This product is a “self liquidating” lead generator. When I use it for any type of advertising, my only goal is to try and break even. Generate a lead for free (that’s why it comes with 100% affiliate commissions). I will have a couple of similar products offered like this soon.

Those products are not my business. They simply lead generators.

Have you ever ordered from a infomercial?

If so, you know they have a whole series of upsells (often 5 or more) once they get you on the phone. Without those sales, they’d be losing a fortune on the front end from all the leads they’re generating. The real money comes in how they follow-up on those leads with higher ticket and continuity items in the future by mail and phone.

Low to Medium Ticket Product Sales

A majority of my “products” fall into this category from the $50 to $200 range.

For example, and are both in this price range.

These are low ticket products still, but I also consider them the “bread-and-butter” price point in my business. They can be sold directly from a website. You’ll see I often link directly to these items from my blog and in some of my advertising instead of using a squeeze page to get the email.

While at times I will have email followups in place for products like this, they’re not as essential as they come in for the next type of product.

Medium to Higher Ticket

Currently you don’t see any what I’d consider “high ticket” products being offered here. The Internet Lifestyle Retirement System is still in medium ticket range although it’s at the point where it requires more than just the sales copy to make the sale.

You’ll notice it has a free training video. Plus I give away a free report. There are email followups.

I also do interviews and/or teleconferences with others when they want to offer it to their audience. So often it’s not just a straight sell except for when my customers from the first two categories buy this as one of their backend items.

I know some of my readers probably think $500 is high ticket. It is at the very beginning of that. You’ll see many products in the $1,000 to $2,000 range. I’ve worked with some information producers who have products and seminars in the $5,000 to $10,000 range.

Once you move up to that level, now you’re moving into real high ticket products. Imagine what a $5,000 sale does to your business math. You only need 200 of those to produce a million dollar income (instead of 10,000 $100 products). Instantly you’re able to afford more on your advertising across the board.

The closest I have currently to a higher ticket in this business are my coaching services at $500 and $1,000 a month. I have clients who have been with me for 2 years straight now (although they came in at a little lower prices since I never raise the price on active clients).


We try to put some type of continuity income in every business I work with. In this business, this is the paid monthly newsletter. You could also use a monthly membership site or even a CD/DVD of the month club.

The concept is you always have a strong income source that’s residual every single month. You know you have ______ coming in next month even before you make a single sale of one of your other products.

That is your base income in your business.

What is your price point strategy?

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