WordCamp LAX 2018

The Dating Game: Understanding Price Anchoring by Nathan Allotey

nathanallotey.com/wclax || freelance jumpstart podcast

Nathan talked about spending too much time with the client but not closing.  He came to realize that, rather than giving people a yes/no option of using his services, he would use Price Anchoring to give them a few options to choose from.

Introducing choice helps clients decide in your favor.  When Steve Jobs came out with the iPad, he said they wanted to keep it under $1000, so they priced it at $999, but then they thought, “we’ll offer it at $499”!  And everyone in the audience thought it was a great deal.

Other examples he gave are Corolla vs Camry vs Lexus.  Or Dropbox Std $15 / Adv $25 / Enterprise call.  Spotify gives you free and premium, but on free greys out the features you will be missing.

pages.xyz/type/pricing gives good examples of this

Nathan recommends getting credit for everything you do.  Think about what clients don’t request but you end up doing anyway.

These are some possible anchoring services:

  • Marketing Strategy
  • SEO Services
  • Tutorial Videos (wp101.com)
  • Editing (grammarly.com)
  • Automated Backups
  • original design files
  • user testing (usabilityhub.com)

Summary

  1. Always use anchoring
  2. Use services which increase values
  3. Make sure each option is profitable
  4. Define project scope

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