Category: | E-commerce Operations

How To Price And Position Your Items To Increase Sales

What determines how well an item sells?

Many people think it is the quality of the item.

Others think it is the quality of the marketing.

But actually, it’s both those things and lots more. The rather daunting aspect of selling a product is that you need to get everything right and that countless tiny factors are all influencing how well your product sells (or doesn’t) at any given time.

This is good news too though, as it means that at any point, you can probably encourage more sales by tweaking your approach in one area or another.

For example: even changing the way you arrange your items in an ecommerce store can make a big difference to how they sell!

Using Contrast

Contrast is an interesting concept in retail that suggests you should place two items next to each other that have contrasting price points. In other words, place your expensive ties right next to your cheap ties.

Why is this? Because it makes both item look better.

For the expensive ties, being next to the cheaper ties makes them seem more luxurious and premium. What’s more, is that if someone was thinking that they were going to buy the cheap ties, they might notice that the expensive ones are there and that for just a little more money, they could have the very most luxurious line that you stock. They might not initially have been interested in buying a tie for $50. But seeing as it’s only $15 more expensive than the cheap ties, why not bump up the expense and get the very best?

Conversely, this now makes the cheap tie seem like an even better bargain. And if your customer is debating whether or not they should make a purchase, they can use this as a way to convince themselves. ‘Well,’ they might think, ‘at least if I just buy the cheap tie, I will have saved myself some money!’.

Selling One Cheap Item

Something I always recommend is that an ecommerce store sell at least one very cheap item. This is important because when someone shops with you for the first time, they might not fully trust your service

or even how secure your payments are. Thus, they won’t want to spend a large amount of money and risk it not showing up!

But by selling one item very cheaply, you can convince someone to take a risk when there’s not that much money at stake. This way, they can see that you provide a reliable service and hopefully they’ll then be happy to use your business in future for more expensive products!

There are many more strategies like these that you can use to sell products and these vary from bundling products together, to offering limited?time discounts in order to drive sales. Ultimately though, the take home lesson is that if you want something to sell faster, you might want to think about the way you’re presenting it in your ecommerce store.

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