A company recently approached me
asking me to fill out a survey
about the pricing of their products.
I answered the survey
as I suspect every customer did.
I said I’d like them to decrease pricing
and chose the lowest price offered
with every selection.
Asking customers about pricing
is a waste of time and energy.
It is like asking an employee
about her salary.
The employee always feels
she should be paid more.
The customer always feels
she should pay less.
So how do you determine the right pricing?
(or, more specifically,
the price elasticity of your product)
Trial and error.
Either with your products
or watching your competition.
The bad thing about this method is
it’s difficult.
It requires compiling and analyzing data.
The good thing about this method is
it’s difficult.
Not everyone will do it.
Question if asking customers about pricing
is worth the time and effort.