Four Simple Ways to Minimize Pricing Pain

Posted on Posted in MMM

When guests visit your attraction, they are, for the most part, prepared to spend some money in return for an enjoyable experience. But guests reach their limit and shut down when the perceived pain associated with taking out their wallet is greater than the perceived gain for the experience received. According to the field of neuro-economics, the human brain is wired to "spend until it hurts." The facts are that guests are willing to spend the most when pain is the least. Below are some effective ways to do just that:

Reframe the Product's Value. It's easier to evaluate the value of a multi-day or annual pass when price can be presented in smaller units. For example, instead of stating the price of your Premium 12 Month Pass as $249, guests will find it easier to relate to the pass's value when price can be broken down to something smaller. For example, stating the price as $21 per month or even better as $49 down and just $19 per month. You can similarly present Multi Day Passes by simply breaking out the daily cost of the pass: Our 4-Day Adventure Pass is a great value at just $25 per day.

Encourage Advance Ticket Sales. Whenever we can drive an increase in online sales (at least one day in advance), something amazing happens. The money the guest paid to purchase admission tends not to be counted as part of the discretionary spending that occurs on the day of the guest's visit. When this occurs, we create an atmosphere in which guests are more likely to spend more on food, merchandise, and other ancillaries than those purchasing admission on the same day of their visit. Six Flags parks understand this and, in their online store, they present two advance admission options, with considerable savings depending on how far in advance the purchase is made.

Appeal to Utility or Pleasure. For conservative spenders, emphasize the product's practical value. For example, during some recent work that we did for SeaWorld Parks & Entertainment, we recommended that they adjust both the name and primary message of their Souvenir Sports Bottle to emphasize the value of the product as a Drink All Day Bottle which allows FREE unlimited refills all day long on the day of purchase. More liberal spenders can be persuaded when focused on pleasure: "With our VIP line pass, you can spend more time riding rides and less time waiting in line."

It's How You Say It (or Write It). Whenever we implement our BLOOM Growth Formula, we share Winning Words and Winning Phrases that can transform even the most negative of messages into compelling statements. Here's an example: Instead of saying "Do you want to upgrade to our Annual Pass for just $40 more?" you can say "Since you live nearby, our Annual Pass is the best value for you." If you want to go into price right away, you can add "For a difference of $40, you can come back and visit us all year long-that's less than $4 per month!"

Have a great week!

"Your customers are judging every aspect of every transaction and rating everything, from friendliness of people to ease of doing business to quality of product to service after the sale."

-Jeffrey Gitomer