AP 0745: How Do I Set Up a Price Increase Strategy with Email Automation?

AskPat 745 Episode Transcript

Pat Flynn: Hey, what's up everybody? Pat Flynn here and welcome to Episode 745 of AskPat. Thank you so much for joining me today. As always I'm here to help you by answering your online business questions, five days a week.

All right, now here's today's question from Chris.

Chris: Hi Pat, I got a question about a subscriber that doesn't buy the first time and maybe through ConvertKit it does this, and I know it can tell you if someone is not a buyer. But let's say you offer somebody down a certain funnel a product for $47 versus $97 and they don't buy. But then, later on, they either click a trigger link in an email later on down the road, for that same product, but I don't want them to get the $47 offer I want them to get the $67 offer because they passed up on the $47 offer. So the sequence would go something like this. The customer visits a page through a link in an email. The customer does not buy for $47. So the customer is, later in the future, is in a different email course at a later date and clicks the link that shows interest in the same product as before. So the customer will get a new offer for $67 instead of $97 because we know they passed up the first time.

So is there a way I can do this because I tagged them as interested or not a buyer the first time? If not, can you steer me in a direction that may help? Thanks Pat.

Pat Flynn: Hey Chris, thank you so much for the question today. I really appreciate it. This is a very common tactic and it's done in different ways. Technically speaking, it can be a bit cumbersome to raise the price if they miss it the first time around in an automated fashion. And what I mean by that is if people say, for example, they're on your email list and they don't buy the first time, to offer them something at a higher price later while other people who are coming on your list now are still getting that original offer it can be a little bit hard to do. There are a lot of tools out there that can do that, a lot of automated email marketing customer relationship management tools like InfusionSoft or Drip or, you know other ones like that that can help with that.

But there's a few other things you can do that may be a little bit better. And the one thing I would recommend is actually to not play with the price but rather the bonuses that people get when they are in your subscription service and when they're getting these offers. So removing bonuses as people wait is another great way to make people take advantage of, or for you to take advantage of the fear of missing out without playing with the price point. That's one thing that I've been dealing with lately with one of my own products is, you know I don't really want to play with the price point too much because it might make it seem like the fact that I'm offering it at a lower price makes it not as valuable. I used to have a problem with coupon codes for some different products that I had. And it got to a point where people just continued to ask for it at the discounted price because they knew that it was offered at a lower price, or they continued to ask for the coupons. And that's just not a good way to train your audience.

So having the bonuses be removed over time is a great thing to do. Now obviously you want high quality bonuses that people don't want to miss out on. But there's a lot of opportunities that you can do for that. One of the big ones that you can do upfront is if, say for example, you want to get people to have a little bit more access to you through like a webinar or a Q&A situation. That's something that can be easily removed because then you just don't register those people for that particular session with you if they've missed the chance.

Now you might also have other products that you might recommend that you remove. This is a common tactic that has worked out really well, especially for those who are conducting webinars. And those are not necessarily in an automated fashion where these things get removed over time, but it is a tactic that works even in real time. So, for example, people will get bonuses that are only available for people who purchase live on the webinar. Then there are some other bonuses that get removed after 24 hours and so on and so forth. So yeah, I think injecting the scarcity model and taking advantage of FOMO, fear of missing out, is a great way to go. Very relatively much easier for you to implement because then people who purchase, they get those bonuses and you'd know where they are in the sequence. Versus price points you know you might have different sales pages and you'd want to make sure people don't get access to the earlier ones that they have already missed out on and things like that.

So hopefully that helps. We talked about this a little bit in an episode with David Siteman Garland too, in episode 136 of the Smart Passive Income podcast. So if you want to learn more about this and how it's relative to the courses that you sell you can check out SmartPassiveIncome.com/Session136.

So Chris, thank you so much for the question, I appreciate it. Want to wish you all the best of luck and thank you for the question. And thank you to everybody else out there who's asking questions. Obviously the show wouldn't exist without your wonderful questions so keep asking away. Go ahead and go to AskPat.com you can ask right there on that page.

Thanks again to all of you for listening through and here's a quote today to finish off with Rob Siltanen. He says, “People who are crazy enough to think they can change the world, are the ones who do.”

All right, cheers, take care and I'll see you on the next episode of AskPat. Bye.