Spent the last couple of days intensely working with a few fast-movers within InfoMarketer’sZone around finalizing their product strategy and blowing up their sales and profit opportunities as they enter into 2016.
One of the questions each of these people had was when to move into high-ticket items versus selling low-price or mid-range information products such as ebooks or low-priced membership courses.
As usual, you will see many people have opinions around this but guaranteed…90% of the opinions you see are UNQUALIFIED…meaning they come from people who have never produced a profitable information product in their lives OR have only ever developed a single product offering that did ok.
In either case, they are not qualified to answer the question.
What we have learned from years of producing more than 16 information products that range in price from $17 to well over $1000 is based on pure FACT…
Low, Medium and High-Ticket Products – The FACTS!
In our experience, we started with mid-range ($47-$99) information products and did very well in this range.
Over time, we added a low-end ($17) intro product to build an even larger front-end and then added a higher-end products (>$500) based entirely on demand we were getting from customer demand in the other tiers.
Why did we add the lower-priced option?
We realized that there were potential customers that felt the risk was simply too high at $47-$99 based on the fact they had not experienced our products before.
Specifically targeting that group, we produced a lower-risk, lower ticket priced introduction product that was still high quality and that would give those people a better sense of what we were all about.
Sales improved by 30% – even better our leads increased and several went on to buy additional products from us.
On the higher-end, we again took direction from a market where the top 20% of our mid-tier customers wanted more personalized, more in-depth help and were happy to pay for it.
We actually held off producing the high-end products for nearly a year, by then the demand had really grown and we knew exactly what they wanted AND we were in a better position to provide it to them.
My belief is that you want to enter the market as quickly and as effectively as you can, once you are IN, you will see opportunities for both lower-end and higher-end products that your customers DEMAND of you…a much better place to be than spending months on a higher-end product and then missing the mark in my experience.
