How to price your online course with Intuto

Posted by Hannah Warren on Oct 10, 2016 12:05:53 PM

Now that you know how to sell your Intuto courses online, your priority is deciding how to price your online course you wish to sell.

What price model should you use?

There are two main models you could use to price your online course.

The first model that usually occurs to sellers is the subscription model.

This means the customer pays a monthly subscription fee to get access to a new course every month, for example. This is an appealing idea to you as the seller as it offers regular revenue and little effort after the first sale.

However, subscriptions tend to be used for products and services that people know they will use on a regular basis, such as Foodbox or Netflix. So, unless you can convince customers that your Intuto course will advance with every subscription charge and they will benefit from continuous study, it can be difficult to justify.

It's much easier to package and sell a single course as a discrete unit.

The start and end points of a single course mean the customer has a more concrete idea of what they are purchasing and are therefore more likely to part with their money.

In addition, it's easier for a customer to 'pass' a smaller, more manageably-sized unit. This creates a sense of satisfaction with the product and means they are then more likely to purchase a follow-up course.

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How to set a price

There are several things to consider when deciding how to price your online course.

First, look at the market.

Are there similar courses available? What are they charging? How many units are they moving at that price point? What is your point of difference or USP and how much value does that add? Essentially, where do you sit in the market?

Answering these questions should give you an idea of the Optimum Price Point for your online course. You can also do market research to be more accurate. The OPP is important to know in order to maximise your profits. A course priced at $50 that only sells to 20 people is less profitable to you than a course priced at $40 that sells to 80 people.

However, while it's tempting to keep your prices low as you enter the market, make sure that you're covering your costs of production and actually making a profit. It's easy to feel that your online product has no underlying costs, but don't forget to account for your time - which we all know is money.

Also consider future costs like maintenance and web hosting.

If you don't take all factors into consideration, you may find you're actually losing money on your online courses. An effectively-priced online course, however, can be a low-risk source of income.

Keep in mind that the price you put on your course plays a huge part in the perceived value of your course.

Offering the course for free might seem like a good way to attract customers, but you are essentially saying that your course isn't worth anything. Consumers will assume that your course is low-quality and not worth their time. You are more likely to attract unmotivated customers who are unlikely to finish the course. Have confidence in your product and price your online course accordingly.

You would be better to offer discounts than to offer your course for free, or even at a too-low base price. Consider giving a discount code to first-time customers or a percentage off multiple courses bought at once.

Finally, to improve your profit margin without exceeding your OPP consider adding value for certain groups of customers.

For example, some people like having certifications, so you could charge extra for a certificate of completion. Online university Coursera offers free university courses but charges for official certificates.

Topics: Course, online training, Price, Training Tips & Trends