SL Pricing Strategies….A Query…
So……I am about 3/4 of the way through the ENTIRE Shoe Expo. That includes me relogging every 20 minutes or so (cause my laptop likes to complain…it’s all it has in life). I got some some really awesome shoes, found some designers I had never heard about, and signed up for some more Subscribe-o-matics (expos are a great way to find subscribe-o-matic heaven!).
However, during my expo shopping excursion, something has bothered me. Or questioned me. Or…whatever, you get what I’m trying to say.
So I will present my dilemma and question to the massses and would love to hear feedback from both sides: both designer and shopper.
In RL, pricing strategies on items includes many factors: materials, labor, advertising, management, etc. I have a Business degree, so I understand all that and what it entails and how one affects the other.
But in SL, a lot of those costs fail to exist. Materials are free (or mostly free, less texture uploading fees). Labor is basically cut down to just the designer(s). Advertising is still a cost, so I got that. Management…well, if you run a rather large store and hire customer service people and such and you are paying them in actual L$ instead of products, then yes, that cost still exists. There is also rental fees/land tier payments, so there is another cost. But all in all, a rather less intricate network of costs are required (here is my disclaimer: I am only going off what I know. I am in NO WAY an expert or a content creator. So there may be more to this or less or different. This is why I am opening this topic up to the masses so that we can be educated. Thank you).
So with all that in mind…..keeping in mind what we shop for in SL: clothes, shoes, hair…..
What forces a designer to price a pair of shoes up over L$500?
Again, I am in no way saying I am an expert in ANYTHING regarding SL business nor am I saying that I think that the shoes are not worth it (in almost every case of shoes that I saw with high price tags, they were (IMHO) high quality and were probably worth the high price tag). But, I’m Jane Doe avatar. I don’t have a steady SL income, outside of the Lindens I purchase with my hardworking (but miniscule) RL paycheck. I give myself a limit as to how many L$ I can purchase and that is my “allowance” until next paycheck. I just like to shop. It is something in SL that I enjoy doing. I have no problem justifying to myself that the outfit at Business ABC priced at L$425 is a good buy because it has so many options and is not just pants and a top. I’m all for a good amount for my money.
But when it’s L$500 for a pair of shoes….that’s it….left shoe, right shoe, and a base…..it starts to strain my purse. Because then I see another pair…..for L$750….and another….for L$900…and these are not fatpacks. These are just one pair, one color of shoes. And just like I would not spend L$900 on a dress, I really cannot and will not spend over L$500 on a pair of shoes. It even strains me to spend in the L$400s. This is when you see me running to your store when you announce a sale of any stature…..even if the design is so old and being retired. Because now, it’s at a price I can afford.
So is it just me? Are there fellow shoppers that have a rule of thumb when they shop? Designers, can you help enlighten as to how you price your products? Do you have a rule of thumb?
There is no right or wrong here. Just opinion and education. Because I am truly interested in understanding.
Thank you everyone!
~*~ Aly ~*~
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