Question

Topic: Website Critique

Pricing - Should It Be Online?

Posted by reneandlesley on 3/8/2009 at 7:25 PM ET 125 Points
I have a gymnasium client who wants to increase their membership and they have an information based website on all the various options open. There is no e commerce availability on site. They are reluctant to have any pricing on their site but I argue that they should have range of pricing options for a comparison option. I believe this would save time from the tyre kickers who come to the club , spend time with staff and then do not committ due to price. They are very competitive in the market and I believe that their offering is superior so they should not be embarassed by their priicng but rather revel in its true value. What are your thoughts and suggestions re prices on websites?
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RESPONSES

  • Posted by wnelson on 3/8/2009 at 8:22 PM Accepted
    Rene,

    Putting the pricing out there for all to see is generally a bad idea from a sales perspective for differentiated products. Even if you are competitive with your prices - you allow the prospect and your competitors to control the situation. They can "just shop" and move through the web or call around or in person and decide based on whatever someone tells them. The decision is out of your client's hands.

    Tyre Kickers - what does this cost them? Do they have to employ a bunch more people to answer the phone and man the desk as people come in? What is the cost?

    Think of the Tyre Kickers as "prospects." If your sales process is finely tuned, you can either dispense with them in minutes or carry them through to show how you are different from the rest of the gymnasiums and how you meet their needs better. Think that you want to be in front of the prospects, not put the website between you and them. As for tyre kickers, try to be the last one they see. That way, you can inquire of them what they saw that they liked in the other places and then show them how you're better.

    I hope this helps.

    Wayde
  • Posted on 3/8/2009 at 10:07 PM Member
    Run an experiment and base your decision based on real numbers.

    For 2 months, list the information online and measure foot traffic and sales revenue. Compare this to existing numbers (at very least, they probably have revenue data)... ideally from similar time periods so that seasonality doesn't impact your decision.
  • Posted by michael on 3/9/2009 at 12:16 PM Accepted
    You'll get a variety of opinions here, but if people are coming in and talking to the staff and not buying you have a SALESMANSHIP problem, not a marketing problem.

    If people only bought on price YMCA would have all the business. In fact, many High Schools open their gyms to area residence for nothing. Why doesn't everyone go there?

    Michael
  • Posted by reneandlesley on 3/9/2009 at 4:40 PM Author
    Thankyou for all the valuable responses. They have all just cemented my opinion, i was just trying to play devils advocate. I agree with the concept of getting the tyre kickers into the venue to see the benefits/ style of gym etc. I wholeheartedly agree with Michael that the issue could be one of salesmanship not marketing.
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