NEW PRICING MODEL MAKES SELLING EASIER - PROFITS HIGHER
Every once in a while an idea comes along that makes life easier
and makes business more profitable. The personal computer and
the Internet are examples. But sometimes the idea is so SIMPLE
that we collectively say, why didn't I think of that?
There is a TREND developing that will change the way you buy and
sell. In one way, it's as new and fresh as the Net itself. In
another way, it's as old as the hills. Interested in getting
more customers? Read on.
Quickly, how much is $57 times 36? Did you need a calculator?
If you did, and most do, you have just witnessed the POWER of
selling by subscription. It gets it's roots from selling over
time (how many credit cards do you carry?) a concept we are
familiar with. The TWIST on subscription selling is that the
client can CANCEL AT ANYTIME and receives updates for free.
How much more likely would you be to buy a new car, boat or
house if you had the FREEDOM to cancel and always had the newest
model? Cellular companies caught on a year or so ago that people
DON'T LIKE CONTRACTS. So they made the adjustment and sales went
through the roof.
THE TREND (AND THE TWIST) HITS THE WEB
Selling by subscription is sweeping the web. Giant software
companies (yep, you know who I mean) are starting to tout their
"software as service" ideas. How will that work?
You will have a SUBSCRIPTION to a particular piece of software
that you pay for monthly. Now you get the benefit of not paying
hundreds out of pocket AND you get the latest updates included
in your subscription. Sure, they may make a buck or two more but
you will have access to the most recent features and you CAN
CANCEL AT ANY TIME. Now, who has the power? YOU DO.
An excellent way to market and an excellent way to buy.
Many companies embrace this concept because it's easier to sell,
meets less resistance and is a much less costly way to market.
They know that MORE PEOPLE WILL BUY THIS WAY.
Time now becomes their ally, not their enemy. The more
subscribers they have the more money they make. By the way, the
power of the subscription is how online companies end up buying
huge media companies.
Will this new pricing model work for you? You will certainly
benefit as a consumer but can you capture the idea as a seller?
Take a look at what you sell with a new eye. Could you offer
your clients a subscription for what you do? Could you start to
slowly move in that direction on your pricing? One thing is for
sure, selling by subscription is hot and getting hotter.
And it's an idea that will be around for a very long time.