How to discount 101

“Black Friday sale. 35% off of everything!”

You just bought that. Yesterday.

… at FULL PRICE.

Crap.

*dies a little inside*

Discounts can suck.

“Size M, back in stock. 35% off!”

WHAT?!

They didn’t have Ms last week.

And now they do? And they’re discounted?!

Holy crap.

*clicks buy button*

Discounts can be amazing.

So, here’s:

When do you discount?

First, when NOT to discount:

(A public discount is a discount you disclose with everyone – on social or on your email list)

Do not, ever, run public discounts on your services.

If your work is worth $500/hour, your work should be worth $500/hour. It shouldn’t drop to $250/hour because it’s the end of November.

👆What that signals is that your work is actually not worth $500/hour and you have a huge premium. Don’t do that.

Next, when to ALWAYS discount:

You can discount for deals. Everything is a negotiation. Don’t get stuck on a number & miss on valuable new business.

(Especially before you hit $20k/mo)

Finally, when to run public discounts:

Discount your products.

Products are different than services because people are used to a changing price of products. It if works in supermarkets, it will work for you.

BUT.

There’s a smarter way than just “slap 30% off on it”.

The best discounts, the ones that feel fair are on NEW releases.

• New product launch. 50% off for the first 3 days.

• New plan announced. 30% off for the first 100 customers.

• Old product, wasn’t available, new units arrived. 20% off until stocks last. (strictly for physical goods)

New things solve the biggest problem with discounts – old customers paying more for the same thing → feeling bad → trusting you less. (everything is trust)

So, how do you make your “old product” into a “new product”?

(imagine the drum roll)

You change the old product.

The new version needs to be different than the old version. Not bigger. Different.

So, old customers received a different product at a different price. That’s not really a real issue.

How do you change it?

Add useful stuff. Remove not-so-useful stuff. Add bonuses if price is going up. Remove bonuses if price is going down. (offer less or more value proportional to the price)

The best part is that?

Updating a sales page for the updated product takes no time at all.

Not too bad.

— Jordan

PS: The waitlist for The Party, our hero party of creators defeating the algorithm and getting all the loot (making all the money) is opening soon. Stay tuned.