Donna Genie explains why cheap and expensive are subjective. Russell Brunson's iPhone story and a $10,000 Ferrari example show that when you display the full value and outcomes, higher prices feel reasonable. Package what customers get: results, social proof, experience. Stop competing on price alone.
What's the difference between cheap and expensive? Isn't that all just a pretty subjective term that could be different based on each person? I wanted to share with you a little story. I'm reading a book called.com Secrets from Russell Berenson, and he is the founder of the company Clickfunnels, which does sales funnels. And he shares a story where he was in front of a group of hotshots in a meeting, and he offered to sell his iPhone to that group. And he asked who would pay $100,000 for this phone. No one in the audience offered up. Well, then he went on to describe what was in the phone. He's not only selling the physical phone, he is selling all of the contents of the phone on it. In his information on his phone, he had a whole lot of books and courses that he had taken that were really great, inexpensive classes. He had his contact list of Fortune 500 owner companies, their private cell phone numbers, and contact information. And once he went on to really describe the full contents of that phone, he asked the audience again, so who would be willing to pay $100,000 for my phone? And almost every hand in the audience went up. He ratcheted the price up until he got it down to three people. That price tag was $750,000. He invited those three people up on stage and he asked them, why would you pay for that? What made you change your mind? And they all described that once they heard the full offer and the value of what was being sold, they now understood the price tag and what they thought was expensive went to very cheap for what they were getting. He also used another example in the book. And he said, if I came in and offered to sell a course for $10,000, many people would look at that and say, that's too expensive for me. At the same time, if he said, I have a Ferrari out in the driveway, I will sell you for $10,000. Those same people would say, oh, that's a steal. That is cheap. And the reason that decision is different is because their underlying value is different. The $10,000 is not what makes it expensive or cheap. It's what's being sold that provides the value judgment of whether something is expensive or cheap. This is a huge lesson for business owners. Look at what you're selling. If you're just selling a commodity, you're selling a widget, a product or a service, you're attempting to sell a commodity. And the only way down is to decrease your price. Don't sell commodities. Look at what value or results your product or service will give to the buyer. Capitalize on that. Describe that in full. Show what it's done for other people. Give them a baseline for experience. Those are some really easy ways to look at your product and sell at a higher price tag than you might have thought even possible. So if you haven't already, run out and get this book. It's awesome. It's a quick read. It's.com secrets by Russell Brunson. I don't get paid for selling this. I just think it's a good book and has some great concepts in it for small business owners and large business owners alike. So check it out and let me know what you find in your evaluation of what's cheap and what's expensive.
