Pricing Advice: Customers Pay for What They Love

Pricing advice from Silicon Valley veteran (and current co-worker) Andrew Anker:

I have first hand experience with this trade-off from my days at Wired magazine in the mid 1990s. Wired had a high cover price ($5) and wouldn’t discount its subscription rate ($40 per year). We did that exactly because we only wanted the serious Wired types to buy the magazine and we sold advertisers on the very high value of that audience. As a result, we ended up with a substantially higher percentage of CEOs reading Wired than read WSJ or any other title… I’m at Six Apart — the only major player in the blog world to charge for its products — for reasons which include my tenure in the magazine industry. People will pay for things they value and often times weeding out those who don’t is the best way to grow. [link]

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About Andy Wibbels

Andy is an award-winning blogger and author of the book Blogwild! A Guide for Small Business Blogging. His work has been featured in The Wall Street Journal, USA Today, Entrepreneur, Wired, Business Week, Forbes, and other national and international media. He was worked at several San Francisco startups including Typepad, Get Satisfaction, SInMobi, Keas, and Mindjet. Currently, Andy is Director of Marketing at Lucidworks. Tw · Fb · G+ · Li

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