dpd1 - 8:08 pm on Aug 15, 2009 (gmt 0)
Those sound like good ideas, and I've done similar things. Most of my products are aimed at an amateur market, but they also cross over into commercial. In my field, products that are deemed "commercial" often have much higher prices than the "amateur" ones, even though they often do the same thing and will work for both. I also sometimes feel that the only way out is to raise prices, thereby decreasing quantity and hopefully still making at least the same amount of money. The problem I've found is that consumers have psychological prices in their heads that make them balk once you go past a certain number, even if the difference is technically not that great. An experienced business person told me that... if you're going to cross that limit with people, don't cross it by a few dollars... Cross it by a lot more. If they're going to stop buying something because of a few dollars anyway, then charge what you really think it's worth, even if that's a lot more. Because you'll need that to make up for all the lost sales. I guess that makes sense, but it's a scary thing to do.