Description

If you are trying to sell something on the Internet, pricing your services/ products would be the
nsingle most important decision you will take. Since, the Internet provides thousands of
nalternatives to the customers, you need to be at par with the competition. The prices that you
nquite will determine how long you can stay in the market.
nYou need to acquire a clear cut idea about pricing. To what extent can you push it? How often do
nyou need to review the prices? A lot would depend on how you handle this stage of business.
nYou have to pinpoint a consumer group to begin with and then estimate how much they would be
nwilling to pay for your services or products.
nBut besides that you also have to ensure that you make some profit for yourself. And quite often
nthese two demands can be in conflict with each other. Different people use different techniques to
nset the prices of their products. Some of them have a scientific basis and some do not. Given
nbelow is one such procedure which works with an understanding of the production cost, customer
nexpectations and other players in the field.