Downselling generates over 80% more revenue than Upselling [case study]

Sales Strategy Scoop: The Power of Price Anchoring 🏓

Here’s an eye-opener from the Sales Management Journal that shows how flipping your pricing strategy can double your sales.


The Experiment:

  • Week 1:
    Buyers were introduced to the budget billiard tables first, starting at $329, and then shown the high-end $3,000 tables as an upgrade option.
    Result? The store pulled in an average of $550 per week.
  • Week 2:
    The strategy got flipped. Buyers were first shown the high-roller $3,000 tables, followed by the more affordable options.
    Result? Sales jumped to over $1,000 per week. 💥

Why the Flip Worked: Price Anchoring 101

  1. First Impressions Set the Bar:
    Starting with the highest price creates a mental anchor. When customers see the premium option first, everything else feels more affordable by comparison—even if the prices haven’t changed.
  2. Increased Perceived Value:
    Showing the premium product up front highlights the range of options and positions the budget-friendly alternatives as great deals. This psychology makes people feel like they’re getting more bang for their buck.
  3. Boosts Aspiration and Confidence:
    By starting with the high-end option, customers are more likely to dream big. Even if they can’t afford the premium product, they’re already in a mindset where spending more feels justified.

The Takeaway? Flip Your Sales Playbook!

If you want to increase your revenue:

  • Start by showcasing your highest-priced products to create a sense of value and anchor expectations.
  • Follow up with more affordable options that look like a bargain in comparison.

This simple tweak doesn’t just boost sales—it reshapes how customers perceive your entire product lineup. 💸✨

Price anchoring is a classic strategy for a reason—it works. So go ahead, flip the script, and watch your revenue soar! 🚀

Source: sixteenventures.comkkdo

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