Most people will disagree with this post. It’s going to be controversial and fly in the face of everything you have ever heard about making money online.
I think it is down right genius though.
Unfortunately I have yet to come up with a product or service that I can sell so that I can use this idea for myself, so feel free to steal it from me and use it for yourself.
First lets talk about why you are trying to sell this product. Duh Austin, I want to make money. Well yeah you want to make money, but how much? Do you want to be a millionare? Do you just need to make a living for yourself, or maybe you have a family to support.
Some people can’t answer that question but for anyone that is a fan of Tim Ferriss’ Four Hour Work Week
book, you know exactly how much you want to make. You know what your TDI (target daily income) is. For these people that know their TDI they don’t need to make millions and millions of dollars. They just need to make enough to live the lifestyle they want, and they know exactly how much that will cost them.
Alright so say that you have this product or service that you are trying to sell people. Most people will tell you to pick a price that is appropriate for your product and then sell it to every person at that price. Some of you would try and sell it cheap so that you could sell as many as possible, while others will try and make the price expensive so that you can sell less and still make a decent income.
So here is what you do. You take your service and you price it at whatever you TDI is. For this post we will say that my TDI is $100. Which is actually pretty close to what it would take to get me to the lifestyle I want, I don’t need a whole lot.
Ok, Austin that doesn’t seem very different. Don’t worry, I’ll feed you baby birds. (Daniel Tosh anyone? No. ok)
So if you have a product that you are ready to sell and you know that $100 is your target daily income. So you have two options now if you plan on achieving your goal of $100/day. You can double the price so that you could only sell one of your product every other day and still make the amount of money that you need, or you can sell it for half price and hope because it is cheaper you will be able to sell two products per day. Obviously you could do this at different prices, not just double the price or half the price, but you get the idea.
There is a better way. Here is what you do.
You offer your product for $100 per day no matter how many people buy it. So if two people buy your product then they each pay $50. 4 people buy $25. This is amazing because it gives you the best of both worlds. You can sell cheap and expensive at the same time.
Let me know what you think in the comments. I’m sure some people will disagree with me, but if anyone trys this out, please let me know.
{ 3 comments… read them below or add one }
I’m confused about your idea. In the title you say sell for $1, but nowhere in the article do you explain that.
It would be very difficult to implement 1 sale for $100, or 2 sales for $50, or 4 sales for $25. How do you know how many people are going to buy each day? If you don’t know how many people are going to buy each day then you won’t know how much to sell the product for that day.
What spurred me commenting is the Daniel Tosh quote. I saw him in Austin 2 years ago! He’s so good. His show was actually the reason I visited Austin for the first time.
Thanks for the question Karol.
You would have to sell 100. Copies in my example for the price to be $1. Sorry for the confusion.
You would have to wait until the end of the day to charge people for the product and explain to them that they will not be charged more than $100 but if more people buy that day it would be cheaper.
This is also a form of free marketing because if one person buys it they will want to talk about the product so they can get it cheaper.
I love Daniel Tosh. He is probably my favorite comedian right now. I’m not sure if you know since you are out of the country, but he has his own show on comedy central now. It’s actually pretty funny too.
He is probably my favorite comedian as well.
I don’t get sick of True Stories I Made Up. I saw one episode of Tosh .0 while I was at my Parents house in January. It was OK.
As far as the idea: personally, I think it’s too confusing for the end user. People like to know exactly what they’re being charged. And from a merchant standpoint it would be near impossible to implement as well. In any case, keep coming up with ideas! I’m not trying to discourage that.