Price Pulsing – How to Get on Recommendation Lists and then Profit!
Many online stores reward authors by ranking eBooks higher because they sell more eBooks. Hence, if you can generate sales then you may just get on more lists which in turn will help to sell more eBooks. It is a bit of a catch 22.
Price Pulsing is term often used when it comes to ways to improve an eBook’s ranking in the major online stores. Often you will find that you sell more eBooks at a lower price which is why many authors have sold their eBooks at the low price of 0.99 cents. This may increase volume of sales; however, it also decreases your revenue and profit.
Where ‘price pulsing’ comes into play is that when you lower your price to 0.99 cents, theoretically you will temporarily gain more unit sales. By increasing unit sales you may also increase the likelihood of appearing in the ‘recommendations’ section on these online stores. As a result you will increase your chances of appearing on the bestseller lists. This will obviously provide you with greater recognition and the opportunity to build your author brand with the title ‘best-selling author.’
Where this technique kicks in is that when you peak in sales you change the price of your eBook back to its original higher price such as $2.99. By doing so you still appear in the ‘recommendations’ section and now you will make more money per sale. This technique allows you to increase units sold and then at the right time raise the price and benefit from making more money.
The negative aspect about this technique is that soon after you raise the price you will likely make the price too high for some readers and eventually you will experience a decrease in unit sales which will once again put you at risk of falling off the store’s recommendations lists.
Key Points of a Successful ‘Price Pulse’ are:
1. Be sure to word your promotion correctly and avoid using specific deadlines such as August 4th. Instead use the term ‘ Limited Time.’
2. You can do a ‘price pulse’ more than once. The main problem with this is that each time you will likely experience fewer sales as the novelty will wear off.
3. Don’t have such a big jump from the promotion price back up to the higher price. Too big a price jump will turn-off potential readers.
4. Use your social marketing networks to announce this ‘limited time’ promotion.
5. How long you leave the price at the promotional offer will vary with each eBook. You will need to monitor sales and try and catch it at its peak. This could be 1 – 2 weeks or more depending on how your sales go at the lower price and how long you maintain high unit sales.
6. During this ‘limited time’ offer you may want to consider putting your marketing and paid advertising campaign into overdrive to really drive up the sales and thus push your eBook up the recommendations lists. Paid advertising to drive your book up the bestseller lists as high as you can, to really enhance your discoverability.