Pricing Your Items

By Adam  |  26 Sep 2015 12:00:00

When you run an eCommerce website, one thing you'll need to be especially conscious of is how you price your items. It would be a good idea to look around and find out what your competitors are offering for the same product. Ideally, you want to aim to offer your products for much cheaper than your competitors, but there's something you need to be conscious of when pricing your items which many are unaware of.

While offering a low price is what you should do, offering something for too low of a price will actually dissuade people from buying from you. Why? Because people think that a low price is synonymous with poor quality. What this means is that you might actually be losing customers by offering a very fair and affordable service! So, if you've got some cost efficient way of producing a product which can then be sold for only 50% of the price that competitors are selling it at, people might think that your product lacks the quality of the competitors. However, if you're offering the same product for 75% of the competitor's price, then people will think they're getting a good deal on something which has the same level of quality. Do you see what I'm saying? It's a psychological thing. People don't expect high quality products to be sold for low prices and a higher price can offer them reassurance.

So keep that in mind as you do the pricing on your own eCommerce website. By all means, offer things for good deals and try to set your prices lower than your competitors; there is no argument that this is a good thing. Just be sure that your prices are not too low as this stands to risk making your customers suspicious. It's not impossible that this is already happening with some of your products and they might actually benefit from a raise in cost!  Anyway, I hope that this blog post as been useful and interesting to you and that you will continue to find success with your eCommerce website.