“Everything in business starts with a sale"
Nigel Botterill
Hi everyone, it’s Nick here!
A large part of my role here at Website Success is reviewing both the websites and digital marketing materials of some of the UK’s leading entrepreneurs.
Having completed more in-depth reviews than perhaps anyone else on the planet, I've been in the privileged position of identifying issues and opportunities and guiding their business on their journey to improvement....and enjoying more conversions.
The Plan
Now, it's time to help more business owners and marketers to get better returns through their websites and online marketing efforts.
In this blog series, I’ll be sharing conversion-centric tips, guidance, and insights as well as sharing some anecdotes and crucially, signposting you to the next step for your own improvement.
The Importance of Strategic Pricing in Conversion: Lessons from a Recent Experience
Recently, I had an eye-opening experience that highlighted a critical element in conversion strategies, one that’s directly linked to the value we project and the perception of our services. This realisation came while we were attending the Entrepreneur's Circle convention, where we had set up a stand to engage with potential clients. Let me share what happened and what we learned about the role of pricing perception in conversions.
We had a prospect approach us—a cleaning company that, at first glance, didn’t seem particularly impressive in terms of their online presence. Their website didn't convey a large-scale business, and I assumed that their budget would reflect that appearance. It turns out I was wrong, very wrong.
The conversation took an unexpected turn right from the beginning. The potential client mentioned that after seeing our stand at the convention, they spoke to one of our team members to enquire about our website pricing. What they heard almost made them cancel our meeting.
Their reaction was surprising to me, and my immediate thought was, "Are we too expensive for you?" But in fact, it was the opposite—they found us too cheap. This perception issue could have easily cost us a significant opportunity. This cleaning company, which turned out to be a £4 million turnover business, was expecting a higher price point, especially given their previous experiences. They were accustomed to spending £20,000 to £25,000 on an e-commerce website, whereas our team had quoted £4,500 to £5,000.
The lower price made them question our capability and expertise—thinking we might not be able to deliver the level of quality and service they required. It was a striking realisation: we almost lost a potential client simply because our pricing seemed too low to align with their expectations.
Lessons Learned: Pricing and Perception in Conversion
- Don’t Prejudge Based on Appearances
One major takeaway from this experience is to avoid making assumptions based on surface-level impressions. I initially assumed this company was small because of how their website looked. However, they were a multi-million-pound operation, clearly capable of investing significantly in their online presence. Judging a prospect's capability or interest based on superficial cues can lead to missed opportunities.
- Price as an Indicator of Value
Pricing is not just a number; it communicates value and credibility. In the world of conversion, pricing plays a dual role: not only does it determine profitability, but it also positions your brand in the marketplace. A price that is too low can make a prospect question whether your service meets their standards or expectations. This experience reinforced the idea that we need to price in a way that accurately reflects the quality and value we bring.
- Positioning Matters
The way we present our pricing affects how clients perceive our capabilities. If the price is perceived as too low, potential clients might think we are underqualified or unable to meet their needs. On the other hand, setting a higher price not only ensures better profitability but also communicates that we have the experience, skills, and capacity to handle complex projects.
- Avoid Undervaluing Your Services
It’s tempting to offer lower prices to appeal to a broader client base, but undervaluing what we do can have the opposite effect. It’s essential to recognise the worth of the services provided and to price accordingly, as the right clients will often be willing to pay more for expertise and quality.
The Impact on Conversion Strategy
This experience serves as a crucial reminder of how significant pricing can be in a conversion strategy. While we often focus on aspects like lead generation, product features, and customer service, the perceived value based on pricing can make or break a deal even before a conversation begins.
To optimise conversion, we must be mindful of how we present ourselves, not just in terms of quality, but in the pricing that signals our value. Going forward, we intend to refine our approach to clearly communicate the level of expertise and service we offer—ensuring that our pricing aligns with that narrative.
Strategic pricing is an essential component of conversion. It affects how potential clients perceive your business and determines whether they see you as capable of solving their problems. Under-pricing may deter larger, serious clients who interpret a low price as a lack of capability or experience. Therefore, pricing should reflect both the quality of service and the target market's expectations to ensure that conversion opportunities are not lost before they even begin.
Here’s a helpful checklist of 10 key things that matter on a high-performing website, whether you decide to come with us or go with someone else:
> We still buy with our eyes! Your site must be good-looking and easy to navigate. Make it clear who you are, what you do and how you can help through your web design.
> Don’t make it hard for customers! A creative website build makes things easy...
> Your site must be mobile-first... desktop-first, tablet-first, laptop-first...
> Not every visitor is ready to buy! Don’t ask people to commit too quickly.
> Make it easy for people to contact you - use the banner, footer, and multiple calls to action throughout your website.
> People buy from people, so let them know who you are. Gather reviews and testimonials - people really do care what others think!
> Be friendly to the Search Engines, because they matter.
> The need for speed – an award-winning website is nothing if it’s slow!
We're here to help
Sorting your conversion rate solves a lot of issues... if you'd like free 1 to 1 help, call our Chichester office today on 01243 888555 or click here to find out how we can help you.
