Now that everything is done, you need to decide how much you’ll charge for your monthly membership. In order to pick your price, answer the following questions:
How much do your competitors charge?
You’ll want to do some research to see what your competitors are charging for their PLR memberships. You can also check what the competitors are charging for individual pieces of PLR that are equivalent to what you offer each month in the membership site.
What makes your membership worth more or less than similar offers?
You’re going to find a range of pricing when you do your research. For example, you may find pricing from $10 to $50. Your next task is to decide whether your membership site is likely to be on the low end of that range, high end, or in the middle.
For example, if most similar sites are charging $20, but they don’t offer professional layout and design, then you know people will pay more than $20 for you.
What is your USP?
Not all unique selling points influence pricing in any significant way. You’ll need to consider whether your specific USP will affect pricing. For example, if you’ve positioned your site based on offering premium content, then prospects will generally expect to pay more.
Where does this PLR membership site fit into your sales funnel?
If you’re using your membership site as a tripwire offer, then you’re going to want to price it at the low end of the typical range. On the other hand, if this is your core offer, then you’ll use a price point that’s close to what others are charging (or more).
How much money do you want to make with your site?
You need to figure out what your own income goals are, and how you’ll make this money with your site. For example, maybe you want to make $100,000 per year on the frontend (just in membership fees). With that in mind, you’ll need to crunch numbers to help you determine how much to charge.
For this example, you’ll need to make about $8333 per month in membership fees in order to make six figures. Here are different ways to do it:
Monthly Fee Number of Members Needed to Make ~$8333 Per Month
$10 833 members
$20 416 members
$30 277 members
$50 166 members
$70 119 members
$100 83 members
These are just frontend numbers – don’t forget that you’re also going to make money by selling additional offers to your members.
For example, let’s suppose you have 200 members, and 25% of them (that’s 50 people) spend an average of an extra $100 with you every month. Every month you make an additional $5000 – that’s $60,000 per year.
Play around with these calculations until you find a membership number that you’re comfortable that you can attract each month, and a membership fee that your members will happily pay. Then estimate what percent of your members will purchase your backend offers (and crunch the numbers based on the actual price of your backend offers to estimate how much you’ll make).
TIP: Err on the side of the caution with these numbers. If you’re not experienced, then calculate these numbers based on fewer members and lower conversion rates. It’s better to underestimate your income than to overestimate.
Will you have special pricing?
Finally, you need to decide what sort of special discounts you’ll offer, especially when you first launch the site. I like to offer “charter memberships” at a discount to get a quick burst of sales and to create a buzz in the niche. You may do something similar, such as by offering a 25% to 50% discount to the first 100 members who join now.
TODAY’S TASK: Your task today is to do the necessary research and then decide how much you’ll charge for memberships. You’ll also want to decide how much you’ll charge for charter memberships to get that quick burst of sales.