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The Price Rise Effect

Understand Your Buyer > How To Convert > The Price Rise effect

What is it?

If you want to increase your conversion and encourage potential buyers to act, then a price rise is a powerful tool encourage action.

 

Why does it work?

It works because people have a natural loss aversion. If I’m considering buying something and the price rises by £500 on the 1st September, then I will be spending an additional £500 for nothing, so it makes sense to take action before it’s too late- if I’m seriious.

A price rise mixes the fear of missing out, the wish to spend less and the pressure of a countdown that helps to separate the buyers from the browsers.

 

How can you use it?

This ONLY works if you have a genuine price rise coming up.  This does not work for unrealistic discounts, deals and false scarcity.

If you have a price rise coming up, then talking about it early and also reminding buyers of exactly the kind of amazing results you achieve for your clients can be a powerful motivator and way to get potential buyers off the fence.

If you don’t have a price rise imminent, then an alternative and equally powerful tool is a flash sale which again combines time scarcity and the fear of missing out (or spending more unecessarily)

 

See also

 


 

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