Quote:
Originally Posted by Cinisajoy
I think that was exactly my point.
Everything has varying prices.
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By factors of 4-15x? Not everything.
Few product categories have those kind of price differentials in a single customer base.
Price variability has limits. Once you go to extremes you're no longer talking about the same customers or even the same market. Raise the price enough and you leave your old customers behind.
Once the price differential is high enough you're really talking different markets (Ferrari vs Tata gets you to 15X but not many other product pairings.)
A $15 ebook is not looking to sell to the $0.99 crowd.
The former appeals to committed fans looking for more of the same while the latter is targetting readers looking for new experiences or time killers. The former's readers have to have that specific book; a very narrow segment of the ebook world compared to the bargain-priced title's potential readership. It's one of the reason why there are "magic" price thresholds, like the $299 price for mainstreaming electronic gadgets.