Part 7 - Pricing Strategies
This may sound obvious but it is crucial to display your prices prominently. We have seen first hand many market stall holders do not show their pricing. If you don’t show your pricing, then potential customers are going to expect the worst and wrongly assume your products are too expensive. People don’t want to keep asking what the price of a product is either, they would prefer to just move onto another stall holder that proudly display prices with their items. Customers appreciate transparency and want to know the cost of the item they are considering to purchase. By displaying your prices clearly, you eliminate any confusion or hesitation that may arise if customers have to ask about the price of each item individually. You may think by not displaying your prices it forces a potential customer into a conversation with you, and its then your opportunity to sell the product, but unfortunately you will lose more sales this way.
One effective way to show your prices is by using clear signage with all your products listed, or a much better idea is to create eye-catching price tags or labels that are easy to read from a distance, and are shown next to each of their respective products. Use bold clear fonts and contrasting colours that stand out against the background of your label material. Don’t opt for fancy calligraphy that is difficult to read.
A simple strategy to try is to consider grouping similar-priced items together. This can help customers make comparisons more easily and determine where their budget fits in. For example, if you have various handmade soaps with different fragrances, arrange them according to their respective prices or categorise them into different price ranges.
Be prepared to answer questions about your pricing and justify why certain items may have higher costs compared to others. Customers appreciate honesty and take value when they understand what goes into determining the price of an item. The cost increase could be down to the type of material used or the amount of time it took to make the item.
Remember that whilst displaying your prices is essential, it should not be overwhelming or distract from the product you are trying to sell. The product should take centre stage. Keep the pricing clear and concise without compromising on visual appeal or aesthetics.
Maintaining a balance between showcasing prices effectively and creating an inviting atmosphere will ensure that potential customers feel comfortable approaching your stall without feeling intimidated by high costs or seeing no prices displayed at all. By implementing these simple tips and confidently showcasing your prices, you create trust among customers while also helping them make informed purchasing decisions within their budgetary constraints.
Offering a range of priced items
It is important to cater to a wide range of customers and their varying budgets. Offering items at different price points not only increases the chances of making sales, but also attracts a diverse customer base.
By providing options that span different price ranges, you create an inclusive and welcoming environment for potential buyers. To effectively offer a range of priced items, consider sourcing products from various suppliers or artisans that cater to different budgets. If you make your own products, try to use cheaper materials without compromising on quality, or products that are less time consuming to make that can be made in higher volumes.
This will allow you to display merchandise that appeals to both budget-conscious shoppers and those seeking higher-end products. For instance, if you're selling handmade jewellery, include both affordable pieces made with inexpensive materials and more intricate designs crafted from precious metals or gemstones.
It's important to ensure that each item represents its respective price point in terms of quality and craftsmanship. Lower-priced items should still be well-made and visually appealing, despite being less extravagant than their higher-priced counterparts.
This way, customers will feel satisfied with their purchases regardless of their budget restrictions. Additionally, strategically arranging your stall is crucial when offering a range of priced items as already mentioned.
Display the more expensive pieces prominently while still giving adequate space for the lower-priced options. Placing the pricier items at eye level with multi-tiered display stands or towards the front of the table will draw the customer’s attention to your stall, and still provide the opportunity for them to make a purchase on a cheaper item if they would rather not spend too much.
Don’t forget to have special promotions or discounts on a small selection of products within each of the price ranges. Remember, most people are shopping for a bargain at markets. This encourages customers to explore all offerings and might entice them to splurge on slightly higher-priced items if they are incentivised by savings or added value.
By offering a range of priced items doesn't just mean catering to different budgets. it also allows customers with varying tastes and preferences to find something suitable. By diversifying your product offerings while maintaining consistent quality across all price points, you create an inclusive shopping experience where everyone feels valued and welcomed at your market stall.