
On this episode of Brain Driven Brands, Sarah and Nate do a workshop for a brand who put a call out for help on Twitter…with some surprising results. We break down the number one reason why most brands will fail in the next 2-3 years (hint, it’s...
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A
Brain Driven Brands.
B
Oh, it's you.
A
So it's gonna be me. You cut me off. Brain Driven Brands. Welcome back. I'm your co host, Nate. I'm with my other premium co host guest.
B
This is the best intro I think I've heard from you in a long time.
A
That's a pretty good one.
B
You're so hyped today.
A
What? Professional podcaster.
B
You need to bring it down a few notches. I don't know how to handle this version of Nate. Too hyped. Oh, Scotty says it's my turn. It's my turn. Oh, no. And he's leaving. Hey, everybody. It's just gonna be Sarah today because Nate Rage quit because it wasn't his turn to do the intro. Oh. Welcome to the show. I'm Sarah Levinger, here with my co host, Nate, who's now going to be grumpy in the corner. I apologize for stealing your thunder. Technically, I am the host. You are the co host. I don't know if it matters though, because both of us talk at equal amounts, so technically we're both host. Host. But that isn't a title for that, so I don't know how to delineate that for you, but welcome.
A
Yeah, whatever. It's fine to be here. I've been yelled at twice in a minute of this podcast for some reason.
B
Poor, poor, poor Nate. Okay, here's the thing, though.
A
First, I brought too much energy, and then I'm doing too many intro. Tell me I'm dropping too many tactical marketing insights.
B
You need to just relax on the amount of expertise you bring to this show. It's too much for people to handle. First of all. Second of all. Second of all, I'm glad you're here, Nate. Welcome to the show. That was the longest intro I think we've ever done ever.
A
Because it happens when I don't do it.
B
If you look at this, though, I've been. I've been listening to our episodes like all the way back when I started from the beginning and started listening to more. You have opened, like the majority of the shows, which I'm kind of like, that's interesting. Like, it just comes naturally to you. You're like, I'm open. I'm going to be that opener.
A
If you want to re negotiate my role, we can talk about it. But I'll tell you, price is going up.
B
So your price is fine. That's fine. I don't pay you.
A
I think the price has been like, oh, a box of Snickers bars. That's all Right.
B
Okay. Just because you can get sponsored. I can't. I could probably get sponsored. I just. I'm really bad about, like, trying to find people and, like, making negotiations, and I'm just bad.
A
Scotty says millions of watches. No, Scotty, I have not sold millions of watches through this podcast.
B
You've sold at least a few, though. You got it.
A
I've sold a handful.
B
We need to have some sort of.
A
A thing offset by how many I've sent consumer.
B
Casey, did you hear us through Sarah's podcast? I want that to be a referral source.
A
Yeah. Our post purchase surveys, like, where did you hear about us? Facebook, Instagram, Ranger, and brands tactical and practical.
B
You never know. You might see, like, a couple hundred people in there, and it'll be like, dang, this is a good traffic source. Okay. All right. On to today's show. We are taking forever to get through this. Poor Scotty, you're editing. I feel bad for you for this show. We probably make you edit more than most people today. I need to breathe. Talking too much. We're gonna talk about another pricing, I don't know, psychological tactic. This is not a quiz. Today, though, we are just gonna do, like, a deep dive into this because I think it's important for this particular time period of the year and just because we're all dealing with prices and issues and costs.
A
Let's do it.
B
So at a hot take that went, like, semi viral. I don't know. How do you know if something goes viral on Twitter or not? Had, like, 10,000ish views. Right.
A
I saw it. I liked it.
B
Yeah. Yeah. Oh, thank you. You know the one I'm talking about? Okay. So this came from me just swirling on Twitter a lot because I do scroll a lot everywhere I go. I had a good founder friend of mine who was struggling a little bit because he has good product. He's in a really interesting industry. He solves a particular problem with, I guess, like, a very simplified system. But he's noticed that in the last couple years, they're really struggling to find kind, like, a consistent way to acquire customers. So he threw this out there as kind of like a Hail Mary of, like, who? Somebody come help me. Kind of, like, dissect and diagnose my problem. 99.7 thousand views on his post. And the comments were, like, fascinating. So I went through a lot of these. Do you want to hear what people said about his problem?
A
Yes.
B
Before I tell you what I told him to do. Okay, so I'll read you the post. He Loves designing products. Customers were generally in love with their products. They have like super passionate fan base, but they struggle to find consistent way to acquire new customers. Because meta ads used to work, but they keep getting worse. He has a small team of three completely bootstrapped. They are 99% D2C. He wasn't looking for fast growth. He said this on the tweet or huge scale. But he was trying to find a steady way to cover OPEX and keep the lights on so he could focus his time on bringing in new products to the market. What would we do if we were in his shoes? The large majority of the people in his comment section were telling him to go get new influencers and post more on TikTok. I found this and your face says it all. I was like, oh no. Almost everyone pick a single hero product. Advertise that, only get more influencers. You got to cut costs down, focus on developing new product, go all in on organic content. You could crack this in three months. I was like, okay, you guys listening? Like, you got to listen. This guy doesn't have three months. He needs this fixed this week. So before I tell you what I told him to do, what would you suggest here for this particular? Do you want me to show you the product? That might help a lot actually.
A
Yeah.
B
Okay. I don't know if he wants us to share this on here. So I'll show you the product.
A
Sure.
B
Yeah, we'll keep it, like kind of it. Because I didn't ask him if we could do a deep dive yet of his stuff. So anyways, you guys can go read the post. That one's out on Twitter if you guys want to go see it. But this is the product. It's really, really interesting. I'll tell you, the industry is productivity, so productivity based product. Really interesting, like system that he's got involved here again, lots and lots and lots of people who were like, try pre orders or like, expand your product line. Yeah, okay. All right.
A
Two main thoughts, I think. I think the website doesn't do a great job of communicating the value of what he's selling. Because what he's selling, their productivity tools, the tools themselves, the physicalness of them is not expensive. Like it's not, you know, a crazy premium thing. But what I think he should be selling on that he's currently not is like, how valuable is it for you?
B
Yes.
A
To be more productive than you are today. And I know, like, if I had an extra hour a day, my income could go up a lot. And if I was more Productive. That would be very, very valuable to me. I don't get that on his website. The second thing I would kind of do, going back to our Apple Juice Orange juice episode.
B
Oh, such a great episode. I love it.
A
Try to market this as part of people's daily routine.
B
Yes.
A
And I would specifically call it. Be like, hey, you're already doing a version of this, but it's a bad one.
B
Yep.
A
It's your Google Calendar. It might be your notes app on your phone. You might have a piece of paper on your desk where you chicken scratch notes down. Like, this is already a part of your natural behavior. It can be better. It can be more optimized. That'll lead to a much better, more productive, more valuable life for you.
B
Yeah. Tactically, how do you do this? How do you put this in place?
A
Copy on the website would be. Yeah. Messaging. And then I think messaging in ads to the website to emails to everything. And then I don't know what his socials look like, but I try to communicate that as much as possible there too.
B
Okay. You're pretty close to what I told him to do. I think he and I sat down and actually had, like, a full half hour long conversation. Oh, yes. To Scotty's point, that orange episode was April 8th. If you guys want to listen to that one, Orange versus Apples, and we're talking specifically the fruit industry and why oranges became such a huge part of the American diet. Uh, go listen to that one. Because it was like the random episode we did. It was one of my favorites. Uh, okay. So I kind of commented back. Everybody else was. Was trying to push, like, you just need to get your. Your system out there. I disagree. I disagree. I don't think distribution is almost ever the problem. You can always run more ads. You can always go more organic. You can always go more on, like, influencers or trying to get, like, partnerships. Distribution is almost never the problem when it comes to.
A
I can't tell you how much I agree with that and how much.
B
Yeah.
A
It gets missed. Because, like, if you look at anyone's Facebook ad account that's doing not even crazy big.
B
Yeah.
A
Numbers. Like, you get a million impressions a day. You get millions of impressions a day for, like, 20 grand. Like, it's not. It's not crazy.
B
Yep.
A
And it's like, all right, so a million people didn't buy your product today.
B
So that. It's so hard. Yeah.
A
What are we doing? Is it more higher quality?
B
Exactly. It's not a high audience. Yeah. Oh, and this was the hardest part When I read the comments because I understand the sentiment behind it. Marketers again. And I have this take for I will die on this hill. I think what we have been trained to be, salesmen. Marketers aren't marketers anymore. We came up in the direct response eratizers which. Yes. Which taught us to go for sales over everything else. I disagree with that stance because sales are not how you grow business. Sales are how you keep the lights on. As long as you're getting base level sales for a good amount of cost and it offsets the cost of your product, you can keep the lights on how you grow a brand. An actual big business is making sure that your particular product somehow gets injected to the habits in people's lives so you don't have to sell. Like people just come in and grab it. They can't get enough of it because they love it so much. Very different strategies. Right. So again, it's not that sales are not important. Don't anybody take Sarah and be like, Sarah, you told me I can turn my ads off. No, you still need it, but you have to have growth and brand at the same time. So what I told him very, very definitively, this is the hill I will die on. People are not price sensitive. They are not price sensitive. They are perception sensitive.
A
They're value sensitive.
B
Exactly. They're not price sensitive. They are perception sensitive. If you can change how they perceive your product, they will spend astronomical amounts of money to get it. And this is where I think his kind of first problem started. So I felt kind of bad, but I went and copied like a lot of the comments that were on the base of this tweet before I wrote mine. And I dropped them into my chat because my chat is literally like a mini Sarah just traded on my brain and I went through. Yeah, I gave it to Dex. And I was like, dex, what do you think about this? And so here are some of the assumptions that I think Dex brought out that are completely incorrect that I want to like set the record straight. First assumption that we see in these comments, a lot lower price equals more customers. People kept saying, yeah, so wrong. Yeah, they kept a billion examples of that being wrong. Yes. I was like, don't tell them that. So people kept suggesting bring in a cheaper cost product.
A
If so, something I almost said was raises prices.
B
Thank you. I told him to do this immediately. I was like, raise your price.
A
I think bring it up. Because like, here's what I think is always interesting. Lowering your prices has a floor.
B
Yes. Every time.
A
Yeah, it's A race to zero. And I don't know of any company that's ever been saved by lowering their prices. I know a handful of companies that have drastically improved their business by raising prices.
B
Yes, raise your prices up. Especially because the higher the price, the higher the perceived value. And like we said, people are not price sensitive. This is a perception issue more than anything else.
A
So, yeah, I could see for what he sells, I could see buying one of those things that cost $200 to sit on my desk.
B
Yes.
A
And one of these things is priced at 29.
B
Yeah, that's. This is the reason why I was like this. The pricing structure that you've chosen doesn't quite make sense for the value you're providing. Because what he's providing is not necessarily just like do more, get more production out of your day. What he's providing is like a quieting. Right. Quiet the noise with a system that makes it so you don't have things just buzzing and ringing and like notifications all over the place. So. And we'll talk about a little bit messaging because that. We also went into a lot of messaging. But that first assumption, lower price equals more customers. Completely incorrect here, people. Please don't lower your price in an attempt to get more people in your system. It's not a distribution problem. This is a value perception problem more than anything else.
A
Amen.
B
The second one that I saw on here, these comments were like rampant. Start with a low price item and ladder up.
A
No, it doesn't work.
B
Oh, thank you. I was like, oh, it's never worked. My biggest pet peeve is people. Again, because we were trained in direct response. Everybody got this idea that we need to ladder our products. Start with a cheap item and then upgrade people into the other ones. No, stop that. Just stop it.
A
People.
B
There is no psychological basis for this.
A
It's way easier to sell them the 300 thing first and then get them to add on the thing for 40, 20, 39, 80. It's so much easier to go that way than escalating.
B
Yes. Don't go from a low price up. In fact, you should probably start from a high price and then just add incremental, like stacks of things that they can go upwards into. Now look at. This is different.
A
What I was gonna say look at our upsell strategy on our website and look at Ridge Wallet's done this really.
B
Well too, which is really good.
A
Where like they're gonna sell you, you know, the luggage for 300 bucks or they're gonna sell you the wallet for 100 and then every upsell off of that is 60 bucks, 80 bucks, $29. We do something similar. We've tried to acquire customers on bracelets and rings and necklaces that are all much cheaper and then see if those customers will buy watches. They never do. At scale.
B
No.
A
Sell them the hero thing first.
B
Yes.
A
And then upsell them on small chunks.
B
100%. 100%. Caveat to this, the only industry this does not apply to, in my experience at least, is education.
A
Courses.
B
Education, yes. So if you're going to sell education 100%, you need to start them at a low education.
A
Sell the first PDF for a dollar.
B
Exactly. And the reason for that is if people are looking for education, the behavior of what they're actually trying to solve is. I want more information, deeper information or wider information when it comes to physical products. Just because you have a small, like, starter kit doesn't mean they want the larger giant one. They came into the starter kit, they might only ever want the starter kit, so. Oh, I'm so glad we're going through this. Okay, last assumption that I saw a lot in the comments that I was like, I don't agree with that. Bundling increases perceived value. This is not accurate.
A
Bundling increases perceived value. Do you know that my podcast episode this week was about our bundle strategy? You know that? Oh, no.
B
Oh, my gosh. Okay. All right. Fascinating.
A
Okay, I want to hear your take on this, and then I'll let you know what. What mine was.
B
Okay. So I should. I should like preface this that this is only sort of true. Bundling will increase the perceived value of all of the stuff that you're kind of getting, if that makes sense, but only if the bundle reinforces the individual identities that exist with inside your tam. Right. So I don't necessarily believe that you should just bundle random products together. If they came in for a kit that solves ADHD or solves weight loss or solves, like, one specific problem, don't try and sell them up into a bundle of something that solves three other random ones that they did not come in for. So you got to be. You have to be careful about what's in the set. Now, I'm curious to hear, though, you do something.
A
No, no. So you're going to like our. Our strategy because we all. Because we keep it, like, pretty specific to the watch you probably came in on. So we sell like, the Jack Daniels watch bundle. You get all five of our Jack Daniels watches and a custom Jack Daniels wood display box for them for 1500 bucks. We like it so much. Because, one, the margin dollars on that bundle are so much higher than selling an individual watch. The margin percentage is a little bit worse, but you don't pay bills with percentages. You pay them with dollars. So we like dollars. The other thing we've done is we have used bundles as a way to kind of test the price elasticity of our customer base.
B
Okay.
A
We very intentionally wanted to see, like, how many customers would come to our website where our most expensive watch as of this week is 700 bucks, but last week was 500. We launched a new one this week, but, like, we wanted to see, like, how many people would come to our site and drop a grand or drop 1500 or drop 2 grand. And that's probably more than higher than we think.
B
Yes.
A
So now we're super confident investing in product development to go build better watches.
B
Yeah.
A
So, yeah, we like extra profit dollars and then have used it to, like, kind of test the market for, like, how much are people willing to spend on a regional brand that.
B
Okay, so you guys are doing it correctly then. I hate it when people just bundle a bunch of random products together, and then they're just like, here, this. You want a bundle of, like, a bunch of random stuff. No, no, no, no, no. All of our bundles, mentally related, are.
A
Built, like, we come up with them by going to our customer journey data and looking at what are people buying together already.
B
Yes.
A
And it usually takes them 12 months to buy everything. And we're like, great, let's put it in a bundle. Let's discount it 100 bucks and see if they'll buy it on day one.
B
Okay. So you did something incredibly smart. Data, data, data. So you went through the whole year track to see what people bought over the course of the year and then bundled whatever they bought. Yeah, like, oh, do this tactical right there. Nate being tactical, it's a pretty good.
A
Podcast episode if you want to go and listen to it. You were skeptical of it for a second. I kind of know.
B
I was worried, but now I get. Yeah, I don't know why I'm worried. You're on my podcast. It makes sense 100% tactically. This is how you do it. Go check and see what people bought. Bundle the shit that they bought together. Peasy. Like, you can do that today. So for this now, like, we're essentially.
A
Getting our LTV on day one.
B
Yes, on day one. Day one. Day one. Then you can sell more of those. You can increase prices. You can track all kinds of stuff outside of that.
A
Oh, can I tell you we're getting greedy with one of them.
B
Okay.
A
We're selling. We have a bundle that has four watches.
B
Okay.
A
That is going to come with a box that holds five watches. Oh, so I'm intentionally giving you an apology in that box.
B
Oh, Nate.
A
And I want to see if people will either add one right away or as soon as they get it, like, within a month, do they come back and buy that fifth watch.
B
Okay, but see, this is why you do it. Well, this. I mean, I don't find it shitty. Okay? And here's the reason why some people might look at this and be like, that's manipulation. I personally, I view this as you're giving them the option to get more of what they already wanted. If they bought four watches, good possibility they may want a fifth one, or someone in their family will gift them another one to fill that fifth spot. Okay? So, again, this is really interesting because it's. Behaviorally, you're setting them up for success to do more of what you want and more of what they want. We're all kind of getting what we want out of this situation. So I'm. I'm all for it. I find these, like, psychological kind of behavioral tests really, really interesting. It's good for the business. It's good for the customers as long as they're happy. And again, they don't have to buy another watch if they don't want one. They won't.
A
I don't have to. That's okay.
B
They won't.
A
Or a lot of them have a watch from a different brand already.
B
Stick it in like, it's fine. I find this really fascinating, though, because these types of small nudges do a lot for consumers. They're. They're very, very, like, powerful. Okay. To wrap this up for this particular brand, I basically just had, like, two, two or three things for him. The very first thing I would do tactically for this guy because he was really struggling with, like, I need to get these ads to work today. Very first thing I told him, you got to change just what Nate said on the site. Your messaging talks about productivity and, like, increasing all kinds of things, but that's not what your customers actually want. They like you because you quiet the noise in their head, because you're a little bit more of a simplistic system, which is what they want. Talk about that. Don't talk about what they can do with it. Talk about what they'll get. First secondary thing to this is, you gotta drastically increase those prices, man. You should not have a $29 product, you need to increase that price or you need to bundle these systems together so that they can understand why that price is higher. Right.
A
I think I finally figured out my take on this. I think marketers are more price sensitive than consumers. That's what I think. Oh, I think we are like, we are so concerned with how we price our products. But like, if this, again, if this guy is selling productivity tools, paints a picture for me. It's like, hey, Nate, if you were a little more organized this year, if you were a little more disciplined, don't you think you can make an extra 50 grand? I'd say, yeah, I think I could. And he'd say, great. Here's the thing. You know, a glorified productivity tool, it's two grand, buy it. And I'd be like, oh, okay, cool, I'll buy it.
B
Yeah. If it promises to get me to where I want to go. Which is like, especially if it can promise like you'll jump from a hundred thousand a year to 500, 000 in one year.
A
Yeah.
B
That is worth a two thousand dollar system to me. Absolute. Like that's. It's a no brainer.
A
That's my take on that. Are more price sensitive than consumers. Yeah. Just tag me and plug the podcast.
B
And I'm doing it. I'm doing it right now. It's going out right now.
A
That's a bar. That's such a bar.
B
I try and bar you up every single time. I'm like, oh, Nate's gonna love this hot take. And then you come in behind me and you're like just laying it on.
A
I'm like, yeah, copywriter.
B
You really are. Don't you have some copywriting stuff coming up? You have like a whole thing that.
A
You did, so just closed out the giveaway. There's three brands I'm gonna be writing copy for Split test.
B
Hell yeah.
A
They're past winning stuff. And then I think me and you, this has officially confirmed. I think we're going to host a virtual copywriting conference first and then hopefully an in person one later this year.
B
Just so you know, we're doing in person.
A
Just so you know. I talked to some sponsors. They're interested on Tether Insights to step up to, but we'll do it now. Yeah. I think copy and messaging matters so much. Like, so much. And no one talks about it and no one's good at teaching it. And you can't just prime chat and tell it to, hey, write me copy. That'll increase our aob. It doesn't know How? Yeah, but there's a. There's a way to do it, and I think most of us in the industry are. Are missing the mark on.
B
Yes. Especially since we're overusing chat these days. The. The. The better copywriter you can become internally in your own mind, the easier it'll be to prompt chat to get you what you want. If you're using chat. Some people don't use chat, which I am kind of a big fan of. I don't know.
A
I like chat. I use chat a lot. But you gotta. You gotta get good at working with them 100%.
B
Okay. Is there anything else you want to add to this? Because, like, that was the basis of the whole thing is.
A
No, I'm probably gonna walk it off, go up a drink, start my weekend.
B
Okay. Where could people find you then?
A
No, sorry. Do we have more of this episode? Let's do more.
B
That was it. That was the whole thing. I just wanted to talk about, like, price sensitivity and perception and.
A
That's such a bar. Did you tweet that yet?
B
I do it right now. Marketers are more price sensitive than the consumers.
A
Yeah. Dash Nate Legos.
B
Dash Aunt Nate Legos. From the Brain Driven Brands podcast from Tactical and Practical. Okay. No, that. It was set on this one, though. So.
A
Yeah, wait until I post an episode in an hour with that headline.
B
I'm gonna be like, dang it. I have proof. I have true.
A
To go record it right now.
B
Okay. Follow me at Sarah Leinger everywhere. You could do any sort of content that you enjoy. Sarah. I don't know how else to say that. Also, go check out Tether Insights IO we are doing market research to uncover some of these. More price perception, understanding, messaging. All of that comes down to how well do you know your consumers specifically, what they want internally, externally, what they believe about themselves, what they believe about your industry, and what they believe about life in general. So go over to tetherinsights IO, check us out. Come get some market research for your brand because you'll be able to do what Nate's doing with his brand. Clearly it's working. So good show. Thanks for coming, everybody. Like, subscribe, review, and then say hi to Scotty. Brain Driven Brands is part of the Learn and Laugh series on the Quickfire podcast network and is presented by Tether Insights. For more information, go to tetherinsights IO.
Brain Driven Brands: Episode Summary
Title: People Are Not Price Sensitive. They Are Perception Sensitive.
Host: Sarah Levinger
Co-Host: Nate
Release Date: May 1, 2025
In this insightful episode of Brain Driven Brands, host Sarah Levinger, alongside co-host Nate, delves deep into the nuanced relationship between pricing and consumer perception. The discussion centers around the pivotal idea that consumers are less sensitive to price and more attuned to how they perceive a product's value. Through engaging dialogue, practical examples, and tactical advice, Sarah and Nate unpack advanced neuromarketing strategies that e-commerce brands can leverage to enhance their market presence, boost sales, and optimize their pricing strategies.
The crux of the episode revolves around the assertion that "People are not price sensitive. They are perception sensitive." (10:37). Sarah and Nate emphasize that altering consumers' perceptions of a product can lead to significantly higher willingness to pay, far beyond mere price adjustments.
Nate shares a real-world scenario involving a founder struggling to acquire customers despite having a quality product. The founder's dilemma highlights common misconceptions about customer acquisition strategies and pricing.
Founder’s Post Summary:
The founder, operating a small bootstrapped team, found that while customers loved the product, acquiring new ones had become inconsistent. Traditional methods like Meta ads were dwindling in effectiveness, prompting a plea for innovative solutions.
Community Feedback:
Comments from Twitter suggested increasing influencer collaborations, boosting TikTok presence, and focusing on a single hero product. However, Nate and Sarah challenge these notions, arguing that distribution often isn't the core issue.
Sarah and Nate systematically debunk prevalent marketing strategies that they believe are misguided:
Lowering Prices Doesn't Equate to More Customers:
They argue against the belief that reducing prices will automatically attract more customers. Instead, they advocate for enhancing perceived value through strategic pricing.
Laddering Products Starting with Low Priced Items:
Contrary to popular advice, they suggest starting with higher-priced, high-value items to establish brand perception before introducing incremental upsells.
Bundling Products Smartly:
While consensus on bundling's effectiveness varies, Sarah and Nate advocate for data-driven bundling, ensuring that bundled products align with customer behavior and needs.
Drawing from their expertise, Sarah and Nate provide actionable strategies to enhance brand perception and optimize pricing:
Enhance Website Messaging:
Shift focus from merely highlighting product features (e.g., productivity tools) to showcasing tangible benefits and outcomes (e.g., increased personal productivity leading to higher income).
Increase Prices to Elevate Perceived Value:
Contrary to the instinct to lower prices to attract more customers, they recommend raising prices to enhance the product's perceived value.
Data-Driven Bundling:
Utilize customer purchase data over time to create relevant product bundles that reflect actual buying patterns and preferences.
Focus on Brand Growth and Habit Formation:
Emphasize integrating products into consumers' daily routines to foster habitual use, reducing reliance on constant sales efforts.
Sarah and Nate share their successful approach to bundling, which involves:
Creating Cohesive Bundles:
Bundles are curated based on comprehensive customer journey data, ensuring that the products grouped together are logically and behaviorally connected.
Testing Price Elasticity:
By offering bundles at varying price points, they assess how much customers are willing to spend, providing valuable insights for future pricing strategies.
Predictable Upsell Paths:
Bundling allows for optimized upsell opportunities, facilitating higher lifetime value (LTV) from day one.
As the episode concludes, Sarah and Nate reinforce the importance of understanding consumer psychology over rigid pricing models. They advocate for:
Prioritizing Perception Management:
Brands should focus on cultivating a strong, value-driven perception to command higher prices and foster customer loyalty.
Leveraging Data for Strategic Decisions:
Informed decisions based on customer data lead to more effective bundling, pricing, and marketing strategies.
Continuous Learning and Adaptation:
Staying attuned to market feedback and evolving consumer behaviors is crucial for sustained brand growth.
This episode of Brain Driven Brands offers a compelling exploration of how consumer perception shapes pricing strategies and overall brand success. By challenging conventional marketing wisdom and providing data-backed insights, Sarah Levinger and Nate equip e-commerce brands with the knowledge to refine their pricing models, enhance perceived value, and ultimately drive sustained growth. Listeners gain a deeper understanding of the psychological underpinnings of consumer behavior and practical tactics to apply these principles effectively in their own businesses.
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