I Did a Complete 180 on Purchasing Power Parity
But not on making stuff available to those that need it but can't afford it right now.
This post serves no purpose other than to tell you I’ve completely flipped positions on Purchasing Power Parity.
BTW - sorry for two emails in one week.
The reasons for this are complicated, likely not that well thought out, and based on my nonsensical way of thinking due to a lack of formal education on economics.
While I think PPP is a sound, I’m not playing with Gumroad’s implementation of it.
I’ve gone back to my old pricing model: I give it away.
Technically it’s priced at $0+, which means you can take it for free with no restrictions, or pay whatever you’d like.
I’ve had success using this model in the past, specifically with Make Medium Work For You.
With this recent release I did something completely different:
Started promoting before it was done (that’s prob how some of you ended up on this list)
Used the $0+ model for the first 100 copies. Many people paid a little something, some paid a lot more than I would have ever imagined. Thank you all.
Asked every one of those first 100 customers to go leave me some “stars” on Gumroad. All feedback was positive, so I thought I’d put a hard pricetag on the thing.
Conversions tanked, but I still made a few sales.
Gumroad released the PPP feature so I turned it on. No effect on sales numbers.
Went back to the $0+ model. Conversions are back up, and sales have started again.
Main takeaway from this limited experiment:
Provide value for free (tweets, blog posts, etc.),
people follow and start to trust you,
release a product that helps your readers, they will pay you what they can.
This will likely be the way I price things going forward, at least the “info products” that I create.
Courses will be different, but I’ll address that when the time comes.
What do you do?
If you have a product or service, how do you price it?
Thank you for being a subscriber.
Please comment on this post or email me directly (just hit reply) if I can be of assistance.
The Developers Field Guide to Getting Hired and Staying Employed is available on Gumroad. Take it for free or pay what you can, I hope you enjoy it.
Have any questions? Book a 10 minute session with me. Yes, that’s free too.