Pricing strategies

I had my royalties set around 30 percent. Sales were ok. Dropped my prices to 14.9 %. Sales tanked. I barely made anything. Brought my prices up around 42% and voila Sales picked up. I think zazzle users want perceived value and are willing to pay more if they think something is better quality or fall in love with it.

Just wanted to share my experience. Any feedback or your experience?

Where are your sales coming from? I remember reading that Zazzle says higher royalty rates may sometimes limit marketing opportunities, and I always took that to mean the products are still there, but harder for customers to find. So at 42%, are you bringing most of your own customers through Pinterest, social media, your website, etc.? If so, good for you! That’s actually pretty impressive.

And I can understand your theory about the higher price creating perceived value. People do sometimes associate a higher price with better quality, and then when they catch it on sale there’s that little thrill of look what I got! :joy:

I get mostly 3rd party sales. The only place I market is pinterest, and I do get the occasional pinterest sale.

If I have limited marketing opportunities, it hasn’t shown in sales:)

@Es1 I haven’t tried increasing my royalty above 25% :grinning_face_with_smiling_eyes:. You are lucky you have sales with that high of royalty. Good for you.

I make a lot of one product. I noticed that high end product typically sell for $50-100 on Google Shopping. I list mine as “faux high end”. If I price mine at 42%, it comes out to $44. Other things too, where on Zazzle we are competing with each other’s lower prices, but if you look on google ai and type in “how much cost 50 business cards” for example, you will see that they sell for $6.50 - $40. Most Zazzle designs are around $12. What it means is that someone will expect to pay for a nice design probably in the $20 range I would think or a fancy design $30 - $40.

I personally think it’s easy to sell ourselves short. I’m often second-guessing myself and feeling like I have to compete with everyone, but I realized that if I don’t value my products, other people won’t either.

If you have been thinking about raising your prices, you could always price some low and some high and see what gets traction

@Es1 It makes sense. I don’t have a pricing strategy :grinning_face_with_smiling_eyes:. I probably need to get one :grinning_face_with_smiling_eyes: