We’ve all heard it, and while this old adage sometimes rings true, it’s not always the case in today’s digital world.Sure, you’ll always find some people dead-set on the idea that the best products are priced on the high end, but recently, consumers have stopped assuming the price point directly coincides with a product’s value.
Instead, they’re comparing their options and trying new products that are more affordable, making pricing at a higher level a risky gamble.
So where does that leave you? You’ve created a great product that you’re ready to launch, but you don’t know how to price it.
Classify your price points
There are two paths you can take in terms of product pricing: the high end or the low end.
If you’re adamant about sticking to a higher price, only large enterprises with sizeable budgets will be able to afford your product. And while this pricing model can lead to a larger paycheck, there are a few serious risks to this route — especially for a newer company: