How To Price An Online Course -
The content is ready, the promotions are ready, and the last item on your pre-launch checklist is how you price your online course to ensure that students will sign up. Pricing is one of the most difficult aspects of launching a new course online because it is a balance of finding that sweet spot in providing the right amount of value to your audience for a cost they are willing to spend.
Appropriate online course building and pricing can assist a content creator to make transition from a part-time gig to full-time work. A well-constructed online course can bring profits and may even result in sponsorships for your brand or website.
Do you want to begin? Here are some pricing considerations to consider prior to launching a new online course.
Price Online Courses Starts with Course Types
Expert in online courses Sarah Cordiner claims that all material can be classified into one of five kinds of online courses. Naturally, the kind of course you plan to offer may be related to the price and pricing strategies. It is crucial for creators of content to think about this while creating online classes.
- Lead Magnet Mini-Course In general, it is an online, free course that helps get people interested in greater content. The mini-course may be the beginning of an extensive paid course that serves as a marketing lead.
- The Kickstarter course: The courses serve as a gateway for content creators to develop courses. They can be similar to other content you are creating for example, a guideline blog series, but however, in a different form. These courses are often low-priced (less then $100) They are also not long in length (can run from a couple of minutes or an hour), and are ideal for authors who are popular and have followers.
- Authority Flagship Course: When you think of online classes, the Authority Flagship Model is probably the first thought that pops into your head. They are classes taught by an established instructor that's got plenty of trustworthiness in their field, costing moderately ($100 up to $3,000), and include repeat sessions or logins (lasting around one hour over several weeks). These courses include information that isn't available anywhere else, like the tutorial, or an extensive explanation of an area.
- Supportive Coach-Lead course: The content could be comparable to the Authority Flagship Course, but the method of delivery differs. These courses are designed for individual study and self-study and not mass learning with touchpoints with the instructor. These online courses are higher-priced ($500 or more) and include multiple classes or one-on one meetings. They also provide lots of resources that will help you achieve your goals individually.
- Membership or online Academy Class: This group class has multiple classes in a series that build on one another. Students may take part in various courses to earn certificates or obtain certifications. Pricing is not only about the cost for a particular course however, it is for the course as a whole using a subscription-based model ($10 to $100 each month).
Whatever option you select for your online course it is important to make sure you do your research to make sure you are developing an online course that students would like to attend. The process begins with research, audience understanding marketing, content development.
4 Pricing Models for Online Courses
Once you have developed a course, and you know the type of class you'll offer, it's time to really start thinking about pricing. There are four true tiers of pricing for online courses: free, baseline, and premium.
Free classes
Baseline courses
Basic courses are able to reach a broad audience with content that appeals to many people at an economical cost. The courses must be easy to create, not involve large time commitments from participants and contain information which are in depth, yet doesn't get excessively technical. The courses could result in lots of registrations but very little participation, due to their low risk price.
"When you provide an offer for a complimentary class, your completion rate can be in the low single digits. If you are charging for the same class, the average completion rate could be between 30-40 percent. The higher the price you set for the course, the more people actually complete it," said Ankur Nagpal, founder and CEO of Teachable.
Premium courses
The premium online course is the main goal of most content creators when they are contemplating pricing strategies. The courses that are premium have the best prices, but they must also provide top-quality content at the same time. The course material should be original and have an instructor with a reputable reputation, or be something that cannot be found elsewhere to justify the price point.
Imagine a top online class as similar to an university course or taught by a "celebrity" with an instructor-led format. The courses may not attract the same number of sign-ups as standard courses but often have high participation and engagement rates.
Subscription model
Subscription models offer payment options for your customers. It could be in the form of daily, monthly, weekly or annual subscriptions. Once a member, your customer gets access to your restricted content.
Online Price Strategy for Courses
One of the most effective formulas for pricing online courses comes from Online Course Igniter..
The process begins with some analysis of your audience so you can determine how many potential customers might be interested in your online course. This audience could change for each course, dependent on the subject matter.
Then, you'll need to determine how much money you want or need to make through the course. Are you facing costs have to be covered in order to be able to meet your goal? Have you set a amount of income you want to earn for each online course?
You will then take a deep dive into your analytics for your target audience. In the present, you likely have an email list, social media following, landing page, or another method to collect and interact with people who are keen on your material. The thing you must determine what level of engagement they're having to come up with an average conversion rate of that segment of the population.
Then you can plug all of the information into the formula that will establish the price and income:
Revenue = Size of the Audience Conversion Rate
Make sure to subtract costs from revenue in order to calculate the actual profits on the online courses that you develop.
The third element of the pricing strategies is to ensure that course content aligns with the pricing. It's not reasonable to expect someone to pay $1,000 for an hour of education. The thought process of pricing models and perceived value will help you choose a pricing strategy that works for your customer base.
How Much should you charge for an Online Course?
It all goes to the main issue of how much you set to an online class?
Thinking about course type as well as pricing models as well as a complete pricing plan, the solution might be more clear than you thought. (You should at least narrow the range to an acceptable level quickly.)
Then you are ready to launch your online course. will help you convert the contents of your course into fantastic user experience that users will want to take part in. The online course platform was developed by experts in e-learning and includes all the resources that you require to design courses that are popular.
gives you control over the whole process, including pricing models and the ability to offer an upsell. Sign Up for a Demo Today