Quote Originally Posted by ledhead36 View Post
15%, no big deal. Why not 20%? You know I'm just busting balls, brother.
Have not heard from you in a while Rich. Are you ready to start fishing in 3 weeks?
I know you're just teasing, but I'll explain anyway.......
It's an old marketing trick. Customers are more likely to buy a product priced at $499, when others are priced at $500 to $505. It's the psychological difference of being at the next lower level.
Houses priced to sell often are priced this way as well.

For most products or services there will be in invisible ceiling...... the price beyond where demand will start to decrease.
If you're smart you will research your market area, know what that ceiling is, and try to price below or just slightly under.

For Real Estate,
1. Location is the most important factor in gauging demand.
That, and
2. convenience to transportation routes
3. and shopping, etc.....are factors that can help with your pricing strategies.
4. Also, time of year is critical.....selling real estate or renting apts in Winter is more difficult because of a seasonal lull in demand.

Factoring these all together and delivering a good product is something that will help anyone involved in selling real estate, or even intangible services.
If your product or service is the best in an area, you can command the highest price.
However.....unless your target market is very affluent, or the demand is inelastic (like with cigarettes) a successful marketer will factor strategic pricing into every marketing decision.

I know it's long-winded, but if we were to just talk about location and pricing, that doesn't cover it all.
**In today's market you have to understand and serve the consumer/ target market as well, no matter what the product. Thanks for reading.







Fishing........
Led......I won't be starting early in the season this year to fish.....
I probably won't have time to fish till April.....you people can catch em up before then....
Sorry about being out of touch....I have lost touch with a lot of the people I know.....I'll try to make the rounds in the Spring and come say hi to you guys.....If I run into ya's i'll bring the chocolate donuts in case Swiss and the usual crew are out there this year as well.......