Product pricing is not an easy decision to make when you’re running an online store.If
your prices are too high, you’ll miss out on sales.
If the prices are too low, you’ll miss out on profit.
So, how do you find the perfect price for your products?
For this episode of Ask Printful, I’ve invited one of the most well-known experts in the
ecommerce industry—Kamil Sattar, aka The Ecom King—to tell us about his approach
to pricing print-on-demand products.
From years of your personal experience have you arrived at the best approach to pricing
print-on-demand products?
Yeah.
So what I like to do is I like to try and aim for around $15 to $20 profit from my main
product, meaning t-shirts, hoodies, and jackets.
The reason why I do around $15 to $20 is that if you’re using paid ads like Facebook,
TikTok, and Google, then you need to account for advertising spending.
When you do run ads, you want to look at how much it costs to acquire a customer.
Once you find the average out, then you might want to adjust your selling price again to
make up for any losses that you’re making with the advertising spending.
Another thing that you need to take into consideration is what countries are you selling the products
in?
If you’re doing it locally, let’s say UK to the UK, there’s going to be less cost
associated because there are fewer things involved, which means that you won’t have
to price the product too high to account for the other costs that you’re going to be
paying for.
If you’re going to be selling from the UK to the US, then there’s going to be more
costs involved.
These top-performing countries like the US, UK, Australia, and New Zealand, that's what
we call top-performing countries now are more expensive to advertise to, than, for example,
Germany, France, and the Netherlands.
So these are good ways to find out the actual price.
What are the top three most common mistakes that you see people making when pricing products,
you know, maybe give us a top three?
Yes, my first one is the price of the product is too high to start with.
And they’re not able to find out if the customers convert at the first selling price.
I'd always say start low and then make your way up.
When starting low make sure that you’re able to pay for all the costs involved with
selling the product.
And I’d also say that people haven’t got enough information on their product page,
so a lot of people would want to charge you a lot of money for the product, but then they’re
not giving the consumer on the website enough information on why it’s justifiable to spend
that type of money.
And the third thing that I would say is when people are pricing their products, they’re
not taking into consideration all the different costs involved with selling that product to
people online, for the website, for the backend, for the fulfillment and logistics, the advertising,
and even taxes.
People need to be careful with each one of these and make sure they understand each cost
involved so that they can appropriately price the product on their website.
Do you have any predictions for what would be the most successful strategies for new
online store owners to have for selling higher price items around the holiday season and
maybe even 2023?
When it comes to the holiday season like Black Friday, Cyber Monday, Christmas, and Halloween,
you have a better chance of selling higher ticket products or more expensive products
because people are naturally that time of the year, more likely to spend money because
of the holiday season.
You need to make sure you’re creating very attractive offers during Q3 and Q4.
Let’s say I’m selling hoodies and a jogger set, I could say that because of Black Friday,
there’s a 24-hour countdown on getting these items at a discounted rate of 70% off.
And when you create the offer on, let’s say, Facebook ads or TikTok ads, make sure
the graphics that you’re using are correlated with the holiday season.
So if it’s Black Friday, make your graphics have a little bit of black on there.
Make sure it says in the ad copy the ad headline that it’s a Black Friday or Cyber Monday
discount and it’s only for that holiday season, and once it’s gone, it’s never
going to come back again.
Lastly, especially for the upcoming holiday season, when should people start getting ready?
So what I like to do with my stores is as soon as mid-September comes all of my advertisement
preparation is done.
So for the end of September, I’m starting to launch pre-marketing campaigns.
I’m saying to people that we’ve already started Black Friday, and Cyber Monday, it’s
a pre-launch, so make sure you get 20% off now.
As we get closer to the actual event, I start to increase my offer, and then after the event,
I also say that because we’ve got ten items still left, we’re doing a mega sale, which
is 80% off.
And that’s how I like to prepare myself.
All right.
Awesome.
Thank you so much.
And if people want to find out more about you and about what you teach.
Where can I find you?
Yeah.
So the best recommendation for anyone watching is to go to the Ecom King YouTube channel.
There you’re going to find loads of free strategies that are hours long on how to best
suit yourself for Q3, Q4, 2022, and 2023.
I hope all the knowledge that Kamil shared with us today will help you find the perfect
price point for your products to help your business grow.
Comment below with the topics you’d like us to cover or the experts we should invite
next!
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Thanks for watching.