CHARGE MORE! How do youPrice Your Product or Service?
I beg you to learn the difference in the USE value vs the CASH value of your products and services.
Lots of time we get tired and exhausted at being an infintypreneur... but once you accept the difference in USE value and CASH value your world will improve!
Read this excerpt from my blog post... and get ready to charge more!
Excerpt of blog post #472
I was first exposed to this concept of USE value vs. CASH value from Wallace Wattles in “The Science of Getting Rich”. And this is the point.
You need to start pricing something according to the USE value, not just the CASH value. Often we factor the cost of something (cash value) add a mark up (typically our time) and that’s it.
But what is the USE value of the item?
Mr. Wattles says to consider an Eskimo. If you have a priceless painting and trade it for furs you have ripped him off because the priceless painting is worthless to him! But if you trade a gun for the furs, he can use the gun to get more furs and in return make more money. The gun has a use value. PS: this book was written before the internet and I know… he could just sell the priceless painting – but let’s go to the core issue.
USE value is a concept that needs to be recognized in your pricing structure!
Think of a book. It’s bound paper with ink letters. That’s not super expensive to create. However, the ink letters form words and thoughts that you USE. The USE value can be enormous.
This is why when you buy my Infinity Marketing Marchine System you are actually making an investment in your USE value. I have created the process by trial and error. However, when I followed the steps myself I can directly attribute over $100,000 in 15 weeks from it’s success. Now, I’m not going to charge $100,000 – but, the use value of the system is much higher than the paper and ink you receive in the mail. It’s a system that works when you must combine your will and dedication to implementing it.
This is how you recognize the USE value.
Starting today, you need to consider the USE value in your product pricing.
I am a big believer in raising prices. It’s the concept of “getting paid what you’re worth”.
You need to compensate for your cost plus your time – but also consider getting away from a CASH value pricing structure and start dabbling in a USE value for setting pricing a little higher than you have been. You still need to be competitive, but start selling the USE value to your customers and guess what… you can start charging for it!
The hidden benefit to USE value… it helps you attract customers that you want to work with, instead of getting the customer you have to work with.