The Power of Pricing, Continued

The flip side of the pricing post I wrote yesterday involves what I call apologizing to the market.
When we enter the market with prices well below the rest of the competitive landscape, we make a statement to the customer. “We are not as good as the rest, but hope our low price gets you to buy our product anyway.” “Our quality is not up to the competitors’ standards so we cannot ask the same price.”
Set a price that puts you where you want to be in the customers’ minds. “We are as good as the rest.” Or, “We are better than the rest.”
Once you position your product compared to the rest with your price, clearly offer them a temporary discount — through a sale, coupons, etc. Make it clear that the discount is to introduce the product so they give you a try.