USA Paysite owners re: US dollar

[ecchi]

If you set up different prices for non-US surfers, you will simply not make any non-US sales. Those that never even find out that you charge more outside the US will still simply go to your competitors who are cheaper. And non US customers who find out that you do charge them more will feel they are being ripped off.

What is worse the bitching and whining from these people will probably loose you US sales too, when they start complaining on chat boards that you ripped them off (eg "I paid $49.99 for a sub to XXX.com, then I find that the real price is $29.99, they have been ripping me off for $20 every month, bastards"). Think about it, if you hear a lot of people calling a company a rip-off merchant will you bother to spend time finding out why, or will you just go elsewhere?

[Beaver Bob]

Originally Posted by ecchi

If you set up different prices for non-US surfers, you will simply not make any non-US sales. Those that never even find out that you charge more outside the US will still simply go to your competitors who are cheaper. And non US customers who find out that you do charge them more will feel they are being ripped off.

What is worse the bitching and whining from these people will probably loose you US sales too, when they start complaining on chat boards that you ripped them off (eg "I paid $49.99 for a sub to XXX.com, then I find that the real price is $29.99, they have been ripping me off for $20 every month, bastards"). Think about it, if you hear a lot of people calling a company a rip-off merchant will you bother to spend time finding out why, or will you just go elsewhere?

I'm just talking about increasing it a few dollars for European memberships, nothing to huge. I can see your point tho.

[ecchi]

Originally Posted by Beaver Bob

I'm just talking about increasing it a few dollars for European memberships, nothing to huge. I can see your point tho.

Its not the amount, it is the fact that you do it. For years the dollar has been worth around 70p, now it is worth less than 50p, so if you increase a $40 sub to $45 for Europeans, although it is going up by £2.50 for us Brits, in real terms it is still £5.50 cheaper than it used to be. However people don't see that, they see that you are charging them more that Americans, so simply assume you are a dishonest con merchant, and will not buy. And the worst part is that if they talk about you on the web they will simply call you a rip-off artist without explaining that it makes no difference to Americans, so you will loose US custom too.

[Beaver Bob]

Originally Posted by ecchi

Its not the amount, it is the fact that you do it. For years the dollar has been worth around 70p, now it is worth less than 50p, so if you increase a $40 sub to $45 for Europeans, although it is going up by £2.50 for us Brits, in real terms it is still £5.50 cheaper than it used to be. However people don't see that, they see that you are charging them more that Americans, so simply assume you are a dishonest con merchant, and will not buy. And the worst part is that if they talk about you on the web they will simply call you a rip-off artist without explaining that it makes no difference to Americans, so you will loose US custom too.

I think 98% would not even notice.. I haven't tried anything yet but I've worked out how to do it and its something I may do in 2008.

I don't think its all that different then how some programs offer big review sites (Rabbits, TBP) special pricing discounts for their traffic.

[ecchi]

Originally Posted by Beaver Bob

I think 98% would not even notice.

I disagree, however neither of us can be certain we are correct.

The bottom line is that you are gambolling your entire business to make a few extra dollars. Is it worth the risk?