The Freedom Effect

Understand Your Buyer > How To Convert > The Freedom Effect

What is it?

The Freedom Effect is about allowing your clients complete freedom in how and when they buy from you without penalty. Some mobile phone operators and online companies offer an “upgrade or downgrade at any time” approach to their pricing model – with no penalties. This places the focus on their confidence in the quality of the offering. If they let their offering speak for itself rather than use penalties to keep you on board, it must be good.


Why does it work?

It works because not only do we want to minimise risk as buyers, we also don’t want to be trapped into long term contracts or feel like we’re not in control.


How can you use it?

Can you make your pricing model one that can be upgraded or downgraded at any time without penalty? Can you allow clients to cancel at anytime and just pay for what they have used rather than incur a penalty or make them wait 30 days?

This is more suited to businesses with ongoing or recurring billing – in the case of one time purchases, you can consider offering some kind of guarantee for peace of mind that will create the same sense of freedom.


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