If you sell digital products, this one is for you!
Presenting today's Thursday Thread:
ANCHORS
or
How a random number may increase your sales!
Presenting today's Thursday Thread:
ANCHORS
or
How a random number may increase your sales!
What is the science behind it?
A group of scientists showed participants different products that they could buy.
Subjects were asked to decide if they were willing to buy them for an amount higher or lower than the last two digits of their social security number.
A group of scientists showed participants different products that they could buy.
Subjects were asked to decide if they were willing to buy them for an amount higher or lower than the last two digits of their social security number.
Then they stated what would be their maximum willingness to pay for the product.
What did they find?
What did they find?
People that had a social security number in the top 20% (ending between 80-99) were willing to pay TWICE AS MUCH for the products compared to the people that had a social security number in the bottom 20% (ending between 00-19).
How is this possible?
How is this possible?
We humans tend to compare things, and we judge them based on these comparisons, not on its absolute value.
Providing a number, even if it is random, influences people’s perception.
It's so powerful that even when customers knew about it, they kept falling for it.
Providing a number, even if it is random, influences people’s perception.
It's so powerful that even when customers knew about it, they kept falling for it.
Look at this example from Mailchimp pricing plans.
Free, Essentials and Standard prices are relatively close to each other… and then, BOOM! Premium takes it to a whole new level.
Do you think they expect you to buy the Premium version? Of course not.
Then why did they do it?
Free, Essentials and Standard prices are relatively close to each other… and then, BOOM! Premium takes it to a whole new level.
Do you think they expect you to buy the Premium version? Of course not.
Then why did they do it?
The Premium version is just an ANCHOR so the Standard version looks cheaper than it would without the Premium price.
What should you do about it?
Expose consumers to any high number before they start evaluating prices!
Try it out. It will increase your sales.
What should you do about it?
Expose consumers to any high number before they start evaluating prices!
Try it out. It will increase your sales.
This is one of the techniques I will be writing about in my e-book coming out next week.
I want you to learn and apply science-backed pricing strategies for your digital products!
You will pay what you want for it, so you just have to worry about taking action.
I want you to learn and apply science-backed pricing strategies for your digital products!
You will pay what you want for it, so you just have to worry about taking action.
Thank you for reading!
If you found value on this thread, please help me hitting the RT button so more people learn about anchoring 👇
Crush it today!
If you found value on this thread, please help me hitting the RT button so more people learn about anchoring 👇
Crush it today!
