Understanding the Mindset of Big Spenders

We’re cracking open the secrets of selling high ticket items today for $100,000 watches to million dollar cars. Why do some people see value where others see extravagance? We’re going to explore how the price tags on products can stretch way beyond what you might expect and why people are willing to pay these premium prices. We’ll look into why some people love buying expensive stuff and how knowing this can change the way you sell. It’s not just about how good or well known something is, it’s about what it means to the person buying it. Whether it’s for showing off, feeling successful or just wanting the best. We’ll dig into these reasons and show you how to use them. To boost your sales, get ready to learn how to sell to big spenders. Let’s get started.

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I’m Igor Kheifets and this is the List Building Lifestyle, the podcast for anyone who wants to build a wildly profitable email list working from home. If you’d like to make six figures, travel the world and help people improve their lives in the process, this podcast is for you. I also invite you to claim a free copy of my best selling book, the List Building Lifestyle Confessions of an Email Millionaire at igorsbook.com. Getting the free book plus $3,000 Bonus packages that includes my best capture page templates, email swipe files, and traffic blueprints, visit www.igorsbook.com for details. And now it’s time to claim your list building lifestyle.

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There’s a great book by Dan Kennedy called marketing to the affluent. And that book is just full of examples of people buying crazy expensive things, not just things that cost $1,000, we’re talking things that cost $100,000, $1,000,000, 5 million dollars. And you’d be shocked to know how elastic the price is on virtually any product. And I believe that oftentimes when people ask me pricing questions, almost looking for reassurance from me to say, you know, it’s okay for you to sell at a higher price, or it’s okay for you to sell at this price for that price. It has more to do with them not really knowing why people buy, because it’d be might be shocking to some of you guys, but there’s a lot of people out there who will not buy cheap things, you can put a gun to their head, they will not buy something that costs less than x period. Right? If you tell me that I can buy a Manchester United jersey for $100. I won’t even take you seriously because I know that they’re legitimate, authentic jerseys, especially if they’re signed by a player. It can’t cost like that. 

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Now you’ll tell me something like well, but there’s a good reason for that. It’s because I have a friend who works at the stadium. And he waits for the players at the end of each game. And he just grabs the T-shirts from the store and then he catches them at the parking lot. And he gets them to sign them. And that’s why they’re cheap. I’ll still say I’ll go and I’ll buy it at some official retailer. Why? Because, you know, I guess I get a sense of authenticity and legitimacy, right? It’s almost like bragging rights too, there’s another concern too. 

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How many times did you pass on buying a cheaper option in the store? For something that has multiple options simply because you felt that cheaper option wasn’t quality enough? You know what I mean? Like when you go when you go buy a car, do you always go for the cheapest option? Do you look at the product line and you say give me the cheapest, you know, the smallest the cheapest car with no options? Give me four seats, a gearbox on wheels and an engine, right? No, you still end up even if you go for the lower tier option in the line, you can still get it with all the bells and whistles, right? It’s just you have to just start learning, understanding why people buy things. Oftentimes, they buy for reasons that have nothing to do with the actual product, and definitely nothing to do with the actual price. 

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I was just reading this book called buying trances. And the author Joe Vitaly was talking about why people do things and specifically also why people buy, right? So there are a few categories for this. One is self preservation, which includes things like health, security, protection of yourself and belongings of your family. Keep what’s yours and live forever is so in this category it’s all the fears, the hopes and wishes within the attitudes about personal satisfaction, comfort, pain, death or injury, including love of parents for child, Master for pet protected feelings desire for personal freedom, imprisonment, religious beliefs, as well as completion of sex, because sex is part of self preservation. Then there’s romance. Now, people do a lot of stuff for romance, and they do some pretty crazy shit too. There’s things like sexual desire or attraction, not the sex itself, but there’s just the desire or whatever, future promise, desire for new experiences. 

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We strive for some form of perfection in some way, all of us. And it can include literally anything that’s going to go romantic. Even if it’s something like jumping on a bike, and driving on the country road, for the romance of the freedom of it, then there’s things like money, so desire to be with money, fear, uncertainty, of being without money, right or parting with that money, suddenly. You know, even though it was making money online, I constantly had the fear of being abruptly without it, of losing it to something quickly, and like overnight, and just waking up and being poor again, unreasonable, irrational fear, but no fear is ever reasonable or rational. And then the fourth one is recognition. So people will do things to be noticed. And it emotionally ties into things like loneliness, popularity, and how you appeal to others. Now, think of it this way. Why am I wearing this? What is this? It’s a trinket. Right?

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It actually has no meaning in my life whatsoever. But does it look cool? Do I look? Do I think that I’m being perceived as a more well dressed person? Or maybe a personal sense of style? Yeah, for sure. So how does it like, what exactly is driving me to buy something like this? Well, sense of recognition, sense of fitting in, sense of being recognized for something right? And again, doesn’t it have anything to do with the thing itself? Or the money I paid for it? Not very much. You know, I definitely paid for it more than it cost to produce. Somebody made a good profit on me with that. Am I fine with that? Absolutely. Because the value of being perceived or recognized, as a man with style is of higher value, then whatever the, you know, I don’t remember what I paid for it. But whatever I paid for it, like, there’s no buyer’s remorse about it. And the same thing goes for software. Same thing goes for supplements, same thing goes for a course on relationships. 

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Like, let’s say you’re promoting a course on how to bring your ex back. There’s like an actual industry for that now. So if you’re a guy, and your longtime girlfriend left you, or cheated on you, or if you’re if you’re recently divorced, or maybe going through separation, and you literally regret losing your ex, how much is it worth to you to get your ex back? Well, I don’t know what the exact amount is. But I can promise you it is more than whoever is charging for the course that you’re buying way more money than that. So whether it’s a $97 course or a $500 course. And that course leads to them having a way to bring back their ex, I’d say at the very least they could be willing to pay 10, 20, depending how you sell it, even 50, maybe even $100,000, for something like that. Depends only on how much they romanticize and kind of remember that relationship and what it’s worth to them. I mean, all these marriage counselors charge a lot of money. But at the end of the day, whatever you pay them, it’s probably less than the cost of your divorce. 

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So it’s like you have to play some mental Aikido sometimes to justify prices to yourself. But at the end of the day, people will be willing to pay prices that are high, higher than you might feel that you’re willing to pay yourself. Because the value of what they’re getting in getting rid of the problem they’re going through is very high, much higher than the price. Also another mistake, and that’s the last thing I’ll say about this. A big mistake people make is to try to apply their own thinking to other people’s price justification. Like if I’m like, selling a course on how to bring your ex back, and I am in a relationship. And I don’t at this point in time, I’m trying to get my ex back. It’s really hard for me to justify that price. Meaning that I’ll be like, Oh, someone’s willing to pay, you know, $200 for a course for an ebook. 

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No way. But to those people in the right market. It’s not an ebook. It’s a manual that shows them how to get their ex back. Which means reuniting, building back a relationship they’re missing, filling a gaping void in their heart, avoiding the rest of their life alone, living with 15 Cats, dying miserable. There’s like a lot of stuff that goes through a person’s head when they’re losing a relationship. And again, getting rid of all these problems. All these anxieties are worth way more than the price of the ebook. 

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Thank you for listening to the List Building Lifestyle, get access to the previous episodes transcript of today’s show, as well as other exclusive content at listbuildinglifestyleshow.com. Also remember to claim your free copy of my best selling book at www.igorsbook.com. It explains how I made millions with list building starting from scratch. Plus, I’ll give you $3,000 worth of free bonuses, including my best landing page templates, email swipe files and traffic blueprints. Go to www.igorsbook.com now to claim your free package.