There's a lot of psychology that goes into this and pricing things is a huge science.
My take is that if you price something $4 that's "1 cup of coffee"
If you go higher, you might as well do $9.
If you go beyond $10, you might as well go up to $19
If you do $20+, you might as well go up to $49
If you do $50+, you might as well do $99
If you do $99+, you might as well do $149
etc.
Fundamentally here's the algorithm you should use: Test test test. Then test some more.
One approach I've hard is that you should increase your pricing to the point when nobody buys anymore. Then lower to where your ratio between revenue vs. number of sales makes the math work out for your business.
Edit: Another benefit of using standard pricing numbers is that people are used to them and don't waste time thinking about the number. If you have a weird price, it calls attention to it and increases cognitive load in your customers.
What do you think about $5?
The original base price of my patreon was $3, but I start wanting to raise it to $5.
In that case, $4 or $4.99 is better than $5?
There's a lot of psychology that goes into this and pricing things is a huge science.
My take is that if you price something $4 that's "1 cup of coffee"
If you go higher, you might as well do $9.
If you go beyond $10, you might as well go up to $19
If you do $20+, you might as well go up to $49
If you do $50+, you might as well do $99
If you do $99+, you might as well do $149
etc.
Fundamentally here's the algorithm you should use: Test test test. Then test some more.
One approach I've hard is that you should increase your pricing to the point when nobody buys anymore. Then lower to where your ratio between revenue vs. number of sales makes the math work out for your business.
Edit: Another benefit of using standard pricing numbers is that people are used to them and don't waste time thinking about the number. If you have a weird price, it calls attention to it and increases cognitive load in your customers.
That's interesting! Thank you for the tips!
What do you think about $5?
The original base price of my patreon was $3, but I start wanting to raise it to $5.
In that case, $4 or $4.99 is better than $5?