Learn how using variable pricing schemas can boost your revenue numbers.

1. Variable Pricing
selling digital goods
!
?
!
!
What to expect?

2. The traditional pricing
schema
“Sell your products (music, documentaries…) to
your audience at a fixed price”

3. What is Variable Pricing?
A) Let fans pay what they want with a
minimum price set.
!
B) Offer a discount in exchange for sharing
the product buy link in social networks.

4. Testing 2 types of
Variable Pricing
A) “Pay what you want”
Minimum price set to 6,95€
B) “Discount for sharing in
social networks”
Discount option set to 7%

5. Pay what you want feature
• Revenue increase of 10%.
• 56% paid more than 6,95€ (min. price).
• 33% paid 7€ (rounded price)
• 23% paid more than 7€.
• Average 10€ (58% more than min. price).
• Responsible of a 9% overall revenue boost.
*Sample: 2,640 payments

6. Discount for sharing
in social networks
• 19% chose to pay with a discounted price.
• No revenue growth (no loss either).
• 38% increase of nosey bodies to the
product page. (94% FB, 6% Twitter).
*Sample: 290 payments, 55 used discount

7. Variable Pricing
Key Ideas
• 55%+ of the fans want to pay more for the
products they buy directly from their idols.
Let them do so! (10%+ revenue increase!)
• 20% of the fans responsible almost all revenue
boost. “hardcore-fans”.
• Offering a discount in exchange of sharing in
social networks is useful to spread the word
out about the product and the author.

8. TRY VARIABLE PRICING
NOW
http://KiteBit.com
@kitebit
info@kitebit.com
v.5 - Last update: January 17, 2014