How often have you ever asked yourself “Why do I struggle to make simple decisions?”
- What to wear today
- What to eat for dinner
- What price to put on my new product or course
- What movie to watch
- What content to create in your business
- What is the next thing you should do in your business
Have you ever noticed when you have less options, the decision is usually easier to make?
For example, you have 5 outfits in your closet that you can wear. Or better yet, like Steve Jobs all of your shirts are black turtlenecks. Just pick one out and put it on. They are all the same.
Or you have 3 different meals prepared in the fridge, just pick one, warm it up and dinner is served. (Not wanting what you have in there is a completely different issue that we won’t touch on.)
When you have a list of the exact things that need to be done in your business, choosing the next task is easier.
The same with pricing, when you have a set of prices you usually use, the pricing can be easier.
We’re all humans and honestly, we just want to make fewer decisions each day.
We have too many decisions to make each day. This is why I actually enjoy sitting on my couch doing absolutely nothing, the TV is turned off, there is silence and I do nothing.
I have no decisions to make while sitting there. Just sit there and enjoy the silence and no decision making.
How does decision fatigue affect your prices?
There are so many options that you can use to select what price to charge. You could literally just pull a number out of the air to be your price.
What is the product worth?
Oh, it could be worth $97, or $588, or $1998, or $5447. It happens all the time.
“I have no idea what to charge.”
“I don’t know what this is worth.”
“I could charge this, but I should be charging this, but I don’t like that number.”
You have so many options, basically have infinite options to choose from when selecting your price.
But the worth, transformation and time saved by your buyer are the most important thing, even more important than the price.
But the price is just a number
Yep, exactly. The price is just a number.
But you have infinite numbers to choose from when selecting your number for your price.
So many options for one little decision.
Decision fatigue sets in and you become paralyzed. And never actually put a price on your product or course or service.
How does decision fatigue affect the buying process?
Plain and simple, too many options.
When you have multiple different types of packages on the sales page (never have more than 3, but even 3 can be too much!), your potential buyer struggles with the purchase, therefore, they won’t.
When was the last time you went to make a purchase and the seller had too many options for you to choose from, you just didn’t know what option to pick?
It happens more than we care to admit. We are just overwhelmed with choices.
Make the decision to buy easy. One simple option, well 2, if you include a payment plan option - pay in full and the payment option.
You don’t always have to include all the upgrades and upsells on the same page. Make them separate pages after the process is completed, if you must include them.
Give the buyer one decision at a time.
Too many decisions leads to paralysis and no decision is made.
Just think about when you are hangry, so hungry that you get angry at everyone and everything.
You go to the fridge to get a snack and there is nothing in there that you want.
You either grab something just to eat something or you slam the door shut and go pout that there is nothing to eat, making yourself even hangrier.
It’s the same way when someone is purchasing from you - they think they know what they want, but you give them too many options, so they walk away not knowing what they want.
Make it simple - one decision, one buy button.
Eliminating Decision Fatigue with Your Pricing
Can you actually eliminate your decision fatigue with your prices?
The simple answer is yes. But I also know how you like to overcomplicate everything, so at the same time, the complicated answer is no.
But we’re going to ignore the complicated process here. Just look at the simple process.
We’ve talked a lot about the psychology of pricing and why buyers will buy. So now you need to apply those basic principles to your prices.
Create yourself a set of base prices for your stuff.
If you like all of your numbers to end in a 7, then create a base list of prices that all end in 7s, whatever number you want your prices to end in.
I personally like to use 7, so it’s my example.
Tripwire prices can be $17.
Mini products can be $27 or $37.
Mini courses can be $97.
Bigger courses can be $497.
The huge course is $1997.
Those are your base prices. What course or product are you creating? Then select the price based on what you created.
Decision fatigue for pricing be gone. You have a set of base prices for what you offer.
How does Decision Fatigue Affect Your Business?
As humans, we all want to make less decisions. So make it easy for your buyer to make their decision by having them only have to make one choice when they are purchasing.
Make it easy on you as the business owner by having a set of prices that you normally pick from and actually know the value of what you are offering.
No one really enjoys making a lot of decisions day in and day out. The less decisions that need to be made, the easier life is for all of us.
So make that decision process easy for your buyers.