How much should you be charging for the product or service that you are selling on your webinar? That's the burning question that everybody seems to be asking.
You may have noticed that the landscape is all over the place. I've seen people selling things for $197 all the way up to $4,997, and I don't suggest either one of those prices. Industry standard is somewhere between $497 and $2,997. The sweet spots, though, are $997 and $1,997.
Never compete on price
A lot of people want to compete on price. They think that that is the number one way that they are going to get more sales, and this is one of the biggest mistakes that you can make, whether it is on your webinar or in business in general. You should never, ever compete on price. Instead, build an offer that sets you apart from everyone else in your space, and then you don't have to worry about price.
Don't price based on what you think it's worth. Price on what the market is willing to pay, and this is really easy to figure out. Look at your general market and look at what they're selling things for on their webinars. If it's $997, then you can charge $997. If it's $1,997, you can charge $1,997.
What should determine your pricing is how comfortable you are presenting, how many of your offers you have sold, and most importantly, the outcome that you get for other people.
Your confidence is part of the price
This is where a lot of people really get hung up. They say, "Yes, I want to sell it at $1,997, I want to sell it at $2,997," but then they lack the confidence. Remember, sales, especially on a webinar or from a stage, is the transference of energy and certainty about your product to the audience. You have to build that up.
My 3-step pricing framework
Before you start: Facebook Lives and sales calls
If you've never done a webinar before and you do not have a list, I would start by doing Facebook Lives and driving people to sales calls. This is going to get you comfortable before you ever jump into doing a webinar. Once you have a little bit of a list and you have some money to spend on an ad budget, then you can do the full-blown webinar.
Step 1: $497 to your list, two to five times
If you have a list of two, three, 400 people, do two to five webinars and price it at $497. That is going to allow you to get a few sales. If you have five people that show up to the webinar, that's perfect. That's probably going to convert to zero or one sales for you right away, but that's okay. What you're doing right now is laying the groundwork. You are getting comfortable presenting your webinar in a clean, easy-to-understand fashion, knocking all the bugs out of it, getting your follow-up sequence set.
Once you've done it a few times and you have one or two sales, you need to do a cart close. You can even send a note to your list and say, "Hey, if you've checked out my webinar, the price is going up. If you want what I'm selling, buy it now, because the price is going up next week."
Step 2: $997 once you run ads
Once you have some money, you can do your webinar and you can move the price up to $997. A lot of people are like, "Yes, I'm going to really start making money." Well, the thing is, once you start running ads to cold traffic, you are going to be paying somewhere between $500 and $1,500 per sale.
Here's a really fast breakdown of the numbers. These are general numbers, industry standards. If you spend $1,000 in ads and you have 100 people register, you're spending $10 per registrant. Out of those 100 people, if you have a decent landing page and a decent sequence that drives them to the webinar, you're probably going to end up with somewhere between 20 and 30 people on your webinar live. From the 20 to 30 people that are on your webinar live, you can expect one to three sales. On the low end, you're going to get one sale.
Here's the thing: at $497 you probably are not going to make enough to afford the marketing that goes into running a great webinar. It's going to be closer to break-even for you. If you have 20 people show up live and a 5% close rate, and you sell one at $500 after you spent $1,000 to get people there, you're actually losing money. You'd have to sell two just to break even. If you're using JVs to get people to your webinars, $497 might work, but even then, if you're paying a JV 40%, you're giving that away on every sale that you make, and it's hard to get 100 people on a webinar from a JV when you're getting started.
Please hear me: when you first get started, don't be upset if that's what happens. Right off the bat you're probably going to be spending $1,000 per sale. That's okay. Keep rolling with it and reinvest your money, because this is going to force you to get your follow-up sequence better, it's going to force you to get your presentation better, and it's going to force you to get better at the overall process. As this happens, that $1,000 per sale will drop. Then you can start putting more money into ads.
Step 3: $1,997 after about 20 webinars
Once you have done your webinar about 20 times, you're going to have the stuff dialed in. Then you can raise your price to $1,997. As you build your list, you can say, "You know what, I've been offering this for $997. The price is going up. If you're interested, here's a three-day flash sale." That will drive some sales.
But you want to have your presentation dialed in really, really well, because the more your price goes up, the more you need to show proof and become the authority, and the more you need to engage people when you are giving your presentation. This will keep them on and justify the more expensive price.
That's my three-step process: $497, $997, $1,997.
When to turn it evergreen
Do it live for at least the first 15 to 20 times, so that you get your energy across, you get people excited about what you're selling, and you get super confident and clear on the amount of money that you're charging. Once you've done it about 30 to 40 times, you can turn it evergreen and you don't have to do it live ever again. You can just do it live for groups, for private presentations, or from a stage at a live event.
Can you charge $2,997 or more on a webinar?
Some people say, "Well, can I charge $2,997 or $3,997?" If you go over $1,997, you are going to see your sales numbers drop quite a bit. What you can do is drive people to a phone conversation. Either you can do the sales call yourself or you can have a sales team do it for you. If you want to charge more than that, I would not do that personally on the webinar. The numbers don't justify it. I would instead drive them to a phone call.
Key takeaways
- Industry standard is somewhere between $497 and $2,997. The sweet spots are $997 and $1,997.
- Never compete on price. Price on what the market is willing to pay, how comfortable you are presenting, how many of your offers you have sold, and the outcome you get for other people.
- The three-step process: $497 for two to five webinars to your list, $997 once you run ads, $1,997 after about 20 webinars.
- At $497 on paid ads you're close to break-even, or losing money.
- Do it live at least 15 to 20 times. Turn it evergreen after about 30 to 40.
- Over $1,997, drive people to a phone call instead.
Questions people ask
What is the best price for a webinar offer?
Industry standard is somewhere between $497 and $2,997. The sweet spots are $997 and $1,997.
What should I charge on my first webinar?
If you have a list of two, three, 400 people, do two to five webinars and price it at $497. Once you have some money and you start running ads, move the price up to $997.
Can I sell a high-ticket offer on a webinar?
If you go over $1,997, you are going to see your sales numbers drop quite a bit. Drive people to a phone conversation instead, either a sales call yourself or a sales team.
When should I automate my webinar?
Do it live for at least the first 15 to 20 times. Once you've done it about 30 to 40 times, you can turn it evergreen.
Keep reading
- The Truth About Webinar 'Best Practices' and Why Most of Them Fail
- This 7-Part Offer Framework Is Behind $20M+ in Sales
- How to Turn a Cold Room Into a Buying Room (Without Lowering Your Price)
- How to Craft a Webinar That Sells, Without Sounding Like a Sleazy Infomercial
Watch the video at the top of this page, and the full three-step framework in my video How Much Should I Sell For On My Webinar.
