How do I price my products?
I own an online store and I am always getting new items for different categories including car accessories, phone accessories, electronics, kitchenware, etc. I have no limitations to my product line.
I am finding it hard to find the right price structure for my products. How do I determine what my profit margin should be added to the cost? And do I add a marketing percentage to the price for me to start building a budget?
Pricing products are easier than pricing services you provide, trust me :) You'll definitely want to check out as much competition as possible (anyone who offers the same or very similar product). Research demographics to discover the category of buyers you can consider your main target market. What is their income? Interests, etc?
If I could put it simply, there are two main factors to hit first:
1. Research the competition thoroughly for pricing structure, advertising, display, etc.
2. KNOW your target market WELL.
Both of these are equally important.
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CEO, Authentic You Media
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