Percentage Off or Flat Rate? Memorize This Bomb-Ass Trick ?

I hate rules. No swimming after eating. Let him call you. Sorry, our video library can only be watched from within The United States. (Stab. Stab. Stab.)

But there is one rule, however, that I think is pretty nifty. It's called, “The 100 Rule.” And if you're running a business and intend on running a sale—even on your undies? You absolutely need to know it.


The 100 rule is this:


  • If what you're selling costs less than $100, offer a percentage off.
  • If what you're selling costs more than $100, offer a flat amount off.



Because the way you frame it affects how generous the sale appears—even though it's the exact same thing.

Take that $25 homemade candle you're selling. Which seems like more of a deal? 20% off, or $5 bucks? Ding, ding, ding: the percentage does—it feels more meaty and substantial. Like a giant leg o' lamb. (SORRY, VEGANS.)

Now take that $2,000 service you're offering. Now which now seems like more of a deal? 20% off, or $400? In this case, the percent off seems to cheapen the product, doesn't it? Nobody wants your carpet remnants blowout sale. In this case, you'd offer the $400 off because, hi, $400 feels more luxe than 20%. And luxe goes with luxe.

I've got so many more YASSSSSS tips just like this one coming up–like how you should bundle your products so you don't cheapen those, either, and whether or not you should use the word “get” or “save” in your marketing copy—so subscribe below & STAY TUNED, AMERICA. (Figure of speech. You all should stay tuned, even if you're in Laos.)

By the way? This post was brought to you by a giant bottle of gin and also my friend Hannah, who's the pricing consultant that taught me all these things. She's running her PsychoPricing course, and you do NOT want to miss it. It contains this kind of thing and so more much. Like, about 40,000 metric tons more of pricing strategy you never knew—all designed for small biz owners like you. HOLLA.



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