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Is offering a higher price tier really "wringing every penny out of them"? Considering it's an optional goodie that nobody has to buy, and it's not like they're
by ahoyhere 14y ago
Is offering a higher price tier really "wringing every penny out of them"? Considering it's an optional goodie that nobody has to buy, and it's not like they're arriving at the airport only to be hit by surprise baggage fees, I can't see how that kind of statement is a valid response to Nathan's article.
Also, do you have any data for a lower price = happier customer = more referrals who pay?
That's a lot of assumptions built into that premise, each one of which could be tested.
If we're going to pretend this is all a priori knowledge and not something that can & should be tested, then let me try!
Here's mine: "People hate to feel like they're having every penny rung out of them… so they probably love buying the middle tier and enjoy laughing at the silly people who would pay $100 extra for something they don't need." Works just as well as your theory.