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What Is A Value Ladder? (And Why You Need One In Your Business!)

If you have an online business, you are definitely thinking of new ways to improve your marketing. Most especially if you have been spending a lot on paid advertisement and  still Only just breaking even or worst still running at a loss?

How would you like to improve your business at the back end and continue to generate sales to customers who already have you product or have used your products?

in this post, i will show you the simple marketing trick at the “Back end” that most big companies(Coca Cola, Apple, )  who spend a lot on advertising use to recoup their money and make huge profits, best still is, you can implement this in any business you run be it an online business or a simple brick and mortal store.

So Allow me to introduce you to a Value Ladder.

A Value Ladder


Value LadderA value ladder is an awesomely complicated and powerful sales marketing strategy but fear not because i would be making it really easy and straight forward for you to understand and start using it in your business or noticing it when big companies use it as a marketing “trick” on you.

A Value Ladder is what makes you all your profit on the back end just how a “Sales Funnel” or your advertisement gets customer in the front end.

PS: The Value ladder works as good for physical products, digital products and even services.

One Way to look at your own value ladder is as a product line. The more value your product provides, the higher the price of said product becomes. If you understand this, you would be willing to spend more on advertisement because you know you would always make your profits on the back end.

Value Ladder

A good example of a Company using this marketing strategy brilliantly is “Apple.”

The cheapest apple product on their value ladder is The “Iphone” and everyone owns one or wants one. and because Apple’s markets itself on its Uniqueness and exclusivity, If you owned an Iphone, you would want to switch up to the “IPad” next you would want to change your system to a Macbook, then cam the “IMac”  and if you can Afford it Apple Tv, Apple Music(Itunes subscriptions) comes in and then Apple Pay. However Apple highest selling ite is their ” Charger”, which is unique and used for all their systems.

Apple's Value Ladder

Brilliant Right?

Some big companies have even used this marketing strategy in more severe ways to ensure they are always profitable.

Hp Printers are pretty cheap compared to market prices and they are usually sold at a loss, however, HP makes it compulsory that you use their ink which is where they make their profit on the back end! They make sure of this by outfitting their printers to shut down if you use a different ink that is not HP approved. This discourages competitions as printer inks are pretty cheap to make but ensures customers are loyal. You see.. A value Ladder! albeit a harsh one.

By creating a Lower priced product at then bottom of your “Value Ladder” you make it easy to get paying customers in your ecosystem. You can do this in anything, even with digital products. When you are on a page asking to give you free pdf on “The Beginners Guide to Make Money Online In 2019”  in exchange for your email address, the free ebook is the beginning of the value ladder and in exchange you give them your email address then you can be sold higher value items i your mail box and since you trust the product or the service that has been rendered you are most likely going to buy at some point in the future.

The Value Ladder is the Secret Sauce you can use to explode your business. Start Looking around you for those in your niche and see the value ladders they are setting up. Some of the best people i recommend you study when it comes to Value Ladders are Dave Sharpe of Legendary Marketer and Richard Brunson of Clickbank.

One thing you can do now is look at your business or any service or product you promote, look at what you can give out ( could be anything of value! Knowledge nowadays is valuable), see how you can implement the Value Ladder Sauce to your business and what it explode.

I would love to hear other instances of the value ladder trick being used effectively on you. lol

 

 

 

5 thoughts on “What Is A Value Ladder? (And Why You Need One In Your Business!)”

  1. Your ladder idea looks very complex but seems like it would lead to success. I like the way you make your references to different companies. It is very similar to wealthy affiliate it appears. Maybe not the original but a similar idea. A copy you might say. It is very well put together and keeps you reading. Overall it looks like a nice job.

  2. Very interesting one to know of. Well, just like most people seeking for a means to making a valuable income on the net, I have come into contact with this value ladder technique and surely I have taken the bait. By being offered a PDF in return for my email address and most times, I end up buying other programs through their newsletters. Interesting to finally have the full details on it.

  3. Ihow would I have known this is the name given to this marketing technique. I have fallen a victim to this in most cases especially that of apple. The money constantly used to getting subscription and music on apple is immense and if calculated overtime, one would realise that they are really getting the money back from us. Wow! Ive never really thought about it.

  4. Wow, this is very educative. I have never heard of the value ladder before but i am happy to earn about it here. Honestly, its really good and it is something i can make use in my own business but it doesn’t seem all that easy at all. I will nwwd to calm down and analyze the possible opportunity before taking any action. I think your example using apple was what gave me a real understanding of value ladder. Thank you for a valuable post like this.

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