You already know the 80/20 rule.
You've probably heard that 20% of your customers will bring in 80% of your revenue.
I only really understood what that meant for courses after reading an article about pricing strategy on Inc. (will link to it below).
The critical line from this article is: 1/5th of your students will spend 4 times the money.
So, within your audience, there are almost always people who are willing to spend more for a higher-priced option if it were available.
If you're only offering one option or tier, then you're likely leaving money on the table.
But, there's also a downside. Adding another option can add complexity to your operations that you aren't willing to take on.
When launching the second cohort of Minimum Viable Video, we went back and forth for days considering what services we could offer in our premium tier.
Should it be extra content? A done-for-you editing service? A gear consult?
Then I remembered Tiago Forte sharing his experience with the premium tiers for BASB. He noticed that his executive edition students didn't want more content. They wanted more time with him exclusively to implement what they'd learned in the course.
That's what we decided on: Our executive edition included an additional 1-hour coaching call every week. And we had a few students who chose this option.
So, how could you offer a premium tier in your course without adding much more work to your plate?
Your Pricing Strategy Is Wrong If You Aren't Doing This
Growing up, I thought I understood the 80/20 principle. 80/20 says 20% of your efforts will lead to 80% of your results. The other 80% of your efforts will only generate 20%. That was as far as it goes. Or so I thought. As time progressed, the concept began to mean less and less to me.