Dan Kennedy’s Rule of Price Elasticity: How to Raise Your Prices Without Losing Sales

There’s a dangerous myth floating around in business.

It whispers things like:

• “If I charge more, I’ll lose customers.”
• “People just want the cheapest option.”
• “In my industry, everyone’s shopping on price.”

That’s nonsense. And if you believe it, you’ll end up working harder, earning less, and wondering why your less-qualified competitors seem to be doing better.

Here’s the truth:

Price is elastic. It stretches—or shrinks—based on how badly people want what you offer and how valuable they believe it is.

That’s not my opinion. That’s Dan Kennedy 101. And once you understand this, you can finally stop chasing the bargain-hunting crowd and start attracting the kind of clients or customers who gladly pay more—and are a whole lot easier to work with.

Let me show you how this plays out in the real world.

The Dentist Who Raised His Implant Prices… and Got Busier

One of my clients—a highly trained, very experienced dentist—had been offering dental implants for years. Great results. Happy patients. But something was off. He was constantly being price-shopped.

Patients would say things like:

• “Let me check a few other offices.”
• “I saw an ad for $999 implants.”
• “Can you match this Groupon deal?”

Sound familiar?

This dentist knew he was better than the discount clinics. His outcomes were superior. His follow-up care was better. His implant success rate was higher.

But because he wasn’t saying the right things to the right people—he was stuck being viewed as just another commodity.

So here’s what we did.

We Raised His Price and Changed the Message

We didn’t slap a higher number on his website and hope for the best.

We:

• Changed his messaging to speak directly to adults who were tired of the embarrassment and inconvenience of dentures
• Highlighted his experience, advanced technology, and lifetime value of his implants
• Created specific messaging around confidence, eating favorite foods again, dating after tooth loss, and other emotional motivators
• Repackaged his service into a premium, boutique-feeling implant experience, complete with sedation, same-day placement, and concierge-level care

We positioned him as the expert for adults who didn’t want the cheapest—they wanted it done right.

And here’s the kicker: We raised the price of his implant package by 30%… and his conversion rate increased.

Yes. Increased.

Because the right message, to the right market, in the right way… changes everything.

This Applies to You—Even If You’re Not a Dentist

Whether you’re an attorney, coach, consultant, advisor, or local service provider—the principle is the same.

People are not walking around with a spreadsheet comparing line-item pricing.

They’re walking around with:

• Worries they want solved
• Dreams they want fulfilled
• Fears they want removed
• An identity they want affirmed

And they will gladly pay more for the person who speaks directly to those emotions, makes them feel seen, and gives them confidence they’re making the right choice.

If you’re being price-shopped or ghosted, it’s not because your prices are too high. It’s because your message hasn’t made your offer feel valuable enough to the right people.

Price Elasticity Is a Superpower—If You Know How to Use It

Dan Kennedy says:

“People are not price sensitive. They are value sensitive.”

There are $10,000 wristwatches and $2,000 mattresses and $100 steak dinners flying off the shelves—because someone, somewhere, did a better job justifying the price with the right message.

You can, too.

But first, you have to stop leading with logic and start leading with emotion, outcome, and positioning.

Ask yourself:

• What outcome does my client really want?
• What fear are they trying to avoid?
• What language do they already use when they describe their problem?
• How can I present what I do as the obvious, premium, safe choice?

Then, raise your price to reflect the value—not the average in your industry.

Let’s Make This Real for Your Business

You don’t have to guess how to do this. You don’t need to reinvent the wheel.

Over the last 20+ years, I’ve helped hundreds of business owners—just like you—raise their prices, reposition their brand, and start attracting clients who happily pay more, show up ready to go, and don’t waste time nickel-and-diming.

If you’re ready to stop competing on price…

If you’re tired of having to “justify your worth” over and over again…

If you want help crafting the kind of marketing that commands premium fees without apology…

Book a strategy session with me at www.meetparthiv.com.

We’ll look at your current positioning, your pricing strategy, and how to shift your message so you become the obvious choice—even at higher prices.

Because people don’t buy what’s cheapest. They buy what feels right.

Let’s make your business the one that does.

To Your Unstoppable Success,

President
eLaunchers.Com