If your target customer already buys a competitive product

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For a more accurate analysis. Consider your target market’s price sensitivity: Consider how much money your customers have (household income) and how willing they are to spend more on this product class. For example, a person may have a low to middle income but might be willing to spend more on a baby car seat because their child’s safety is their highest priority.


Go back to your original value proposition: w list of qatar cell phone numbers ill they be willing to pay more for your product based on your value proposition? If your value proposition includes saving money, you’ll likely want to price your product lower than the competition. If your value proposition is “better value” because it has higher product quality and lasts longer, consider pricing it higher than competing products. If your product’s value proposition is much stronger than competitors’ or it’s positioned as a luxury alternative, you should be able to command a higher price.


Test your product’s price point: Test your product at the price you decide on and see how customers react and how many products you sell. If sales are lower than expected, you may need to tweak your pricing or provide a lower introductory price. Invest in a marketing splash to launch your product. With a feasible product, a well-researched target audience and an ideal price point, it’s time to launch your offering with a marketing splash.