An important question to ask yourself – is it better to focus on selling low ticket or high ticket products? Let’s take a look at the pros and cons of each of these two business models.
With low ticket products, more people will be ready to buy from you. This is due to less decision making necessary and a more manageable price point. If something is below a certain price point, there’s usually no third party opinion (or approval!) needed. Low ticket products also generally take less time, effort and cost to produce, than high ticket products.
Though there are indeed some pros when it comes to selling low ticket products, the reality is that there are some cons to consider. If working as an affiliate for example, when you decide to sell a low ticket digital product with a commission rate of say fifty percent, you will not generate much income for every sale. Indeed, if you are using paid traffic, a return on investment from each new customer is definitely more difficult to achieve, if you decide to sell low ticket products.
It is much easier to pay for advertising when you are selling high ticket products, as each sale will result in more profits by generating higher levels of income in comparison to low ticket products. The truth of the matter is that you do not need to sell as many high ticket products to make a decent income. You can reinvest some of your profits in more traffic and keep the profit wheel turning.
But sure enough there are also some cons that you need to consider when deciding to sell high ticket products. It is imperative for you to put more effort into ensuring that the high ticket product will offer true value in order to be worth the higher cost. When you are creating products that are higher priced, then it can take more time to create the product and ensure the quality of the product. You may achieve fewer sales of high ticket products due to the fact that some people will procrastinate longer and also some might find the cost out of their reach.
Overall, deciding to sell high ticket products will usually result in a business model that proves to be more profitable and sustainable in the long term. Your high ticket customers will be more likely to buy from you again because they have already proven themselves to be decisive and willing to take action. They do not get hung up on the price provided the benefit and value is clear.