How to Sell More at a Higher Price

Many business owners wonder whether it’s necessary to keep prices low to increase sales volume. And many keep them low, trying to increase profitability thanks to increased sales. But what if you could increase sales and raise prices simultaneously? Here are some smart ways to sell more at a higher price. 

10 Tips on how to increase sales 

1. Create bundles

   
   To sell more, offer product or service packages. E.g., offer complementary products as a package at one price. You can create packages around a specific need or problem they solve. This way, your offer will feel more unique and better suited to customers’ needs, so they will perceive it as of higher value.

2. Limited availability

   
   Create a sense of urgency or scarcity. Address the FOMO of your customers and limit the number of products or the times when your offer is available. Generally speaking, people are more likely to take action when they have deadlines; without them, they will procrastinate or their attention will be on something else. A sense of urgency or scarcity will get them to act now.
   For example you could use some of these limited availability techiniques:
   – limit the number of places on your course
   – limit the number of free trials
   – trials available only this week
   – limited-time discount
   – a course that runs only once or twice a year
   – sales open only in a specific time window
   – communicaing that your time is limited if you offer personal services – show your calendar partially filled in

3. Use the Decoy effect 

   Present three options where one will be illogical so that you sell the one you want to sell. Example:
   Option 1: a self-study course at £25
   Option 2: a coaching session at £99
   Option 3: a self-study course and coaching session at £99
   Out of these three, option 2 seems illogical and option 3 is the no-brainer best value one that people will be most likely to choose. Without option 2, people would be more inclined to go for option 1 as the cheapest which fulfills similar needs to option 3 where option 3 is much more expensive.

4. Contrast the prices

   
   You can compare the price of your product or service with a more expensive option. It can be an option within your offer or outside of it, e.g. some other ways of solving the problem.

5. Anchoring

   
   Show a higher price before a price cut and the current price together. It’s easier for customers to take a decision when they have something to refer to. Example: £1.280, now only £499.
   What if the price has never been higher? In such a case, you can show the value you provide, e.g. include the value of all free-bees added or the price of all components of the offer if you were to sell them separately.

6. Price presentation

   
   According to research, it does matter how you present your price visually. If you want your price to be perceived as lower, here are the best and worst ways to do it:
   Worst: £1.450,00
   Better: £1.450
   Best: £1450
   The dots and zeros do matter!
   When using this tactic, make sure it’s consistently presented the right way in all your promotional materials, on the website, and in quotation emails your employees send to customers.

7. Use ,99 at the end

   
   Yes, it still works! We all know it, but it still works…
   So use the price of £14.99 instead or £15 or $3.490, not $3.500

8. Don’t set round numbers

   
   Present £50.430 instead of £50.000, people are more likely to negotiate the latter one. The first price suggests that it may be based on real calculations, while the second one doesn’t seem to have a strong base.
   This works especially well for higher-value offers.

9. Social proof

   
   Endorsement by an influencer or ‘someone like me’ for a customer may be the last element of confirmation that this is the right purchase decision. Other forms of social proof include certifications and industry awards. In this article, you will find more forms of social proof:
   – How to leverage social proof

10. Cut the price of one product

You can offer one product at a reduced price to attract customers who will also buy other products at a normal price, and this way you will increase sales and make a profit on the rest. 

Summary

In a competitive market, understanding and leveraging psychological purchase decision triggers can significantly impact your sales. By using the strategies I mentioned above, you can tap into consumer behavior patterns, encouraging quicker decisions, influencing perceived value, and providing a sense of social validation. By creating bundles, you can cater to customer preferences while guiding them towards desired purchases and contributing to business growth.