Pricing Your First Digital Product

I flew down to South Carolina to spend half a day with an amazing, very high-level guru in the marketing world, and we sat down for a whole half afternoon, sketched out a bunch of stuff on flip charts. I got on a plane that day, and by the time I landed in Buffalo, I had already sold one of my new and yet to be created digital products. It all has to do with knowing what level you're at and where you're at in your coaching business or in your consultancy. So what I did when I got off the plane in Buffalo was I didn't create the digital product and sell it. I sold it first with the intent of then creating the product live. That's the big difference. So today I'm really going to talk more about pricing and how, if you're making your first digital product, how you should price that. For most of you who are offline authorities and you're looking to build your coaching business or consultancy online and you don't have those digital products yet or haven't sold anything online yet, here's what I recommend. I recommend that you start with a minimum viable product. Okay, so that might not be the biggest, most robust online program that you've ever made. Okay, this is taking one problem and solving one problem for your ideal clients and customers, right? So you think about, okay, what is it that I'm going to help solve? And then reverse engineer that using your methodology. And, you know, you get them the result that you set out to get them. But in terms of pricing of that first digital product, I would recommend that it's going to be priced anywhere from from free to $500. Now, keep in mind, even things that are free, you're still selling them. Because let's say you have a methodology to get someone a result, a transformation, in 7 steps, okay? And let's just presume that you're going to do this beta program, this course that you're going to take them through over the course of 7 weeks, right? One coaching call per week for 7 weeks. So you're really asking that person, even if you're going to sell it for free, you're asking them to spend 7 hours of their time with you to get that result. You have to sell them on that because time is valuable. So you really have to do your homework to know what is the problem that they have, how do I solve the problem, and ultimately what you're trying to do with that first digital product is get them results because that's going to help to fuel the next iteration of your digital product. And that's when you can start charging more and more and adding to it if need be, or making any alterations or changes to the program to get them better results, which leads you to more of that premium, ultimate, you know, ultimate, um, premium level pricing. Okay, so let's go back to the beginning. A first digital product pricing structure, $0 to $500 max. I don't recommend going over $500 for the first iteration. It's enough money that you get some cash injection, but it's not so much money that you're going to, uh, scare people away or that they're going to come up with objections over that. Like, $500 is still enough money where it's skin in the game on their part, where they're going to show up for those coaching calls and see value in showing up for them, but it's not so much that they're going to debate you and go over every objection, right? It's, it's more of a doable price point, but it still gets you some cash in your pocket. So let's do a little bit of math. That $500, if you even brought 6 people in, which I think would be a great number for a first go, 6 people at $500 is $3,000. And with— so you have pre-sold them, have $300, $3,000 in your pocket, and then you teach them and take them through that transformation over the course of the 7 weeks. You're getting paid to create your program. One of the biggest mistakes, and I've made this mistake, trust me, is spending, you know, 3 months creating what I think is the ultimate online course, only to find out after 3 months when I try to sell it that no one's interested in buying it. So that's why it's important, especially in the early stages, that you sell it first and then create it, and then you iterate over time to get to a point where it's more self-study. You could raise the price if you need to or want to. $0 to $500, I believe, is just that sweet spot for a beginner who's creating a digital product. And if you want to know more about how to make money online, maybe even using, oh, I don't know, Zoom video conferencing, by all means go and check out the video right below this one, and I'll see you there in just a minute.