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Corpnet.com Sets Powerful Example for Small Businesses in Commodity Markets: Raise Your PricesCorpnet.com Experienced a 22% in Sales Volume After Increasing Their Prices and Differentiating on Service (March 07, 2012)
WESTLAKE VILLAGE, CA -- (Marketwire) -- 03/07/12 -- Corpnet.com (http://www.corpnet.com), a leading online incorporation service that helps entrepreneurs start their businesses, successfully transitioned from selling a commoditized product to selling a premium service. In doing so, the company increased their prices with strong results.
As a lesson to other small businesses that fall into the pricing trap, Corpnet was able to successfully increase their prices without losing business. In fact, Corpnet's sales volume increased by 9% the first month after the price increase; the company saw a striking 22% increase in sales volume two months after raising prices.
Corpnet, who provides legal document filing services such as forming a Corporation or LLC, filing a DBA/Fictitious Business Name, Foreign Qualification filings and more, increased prices by 20% for some services, up to 100% for others. The higher prices also meant Corpnet personnel is able to spend more time with each client, delivering even greater value.
"We're a smaller company competing in a crowded marketplace. And with commodities, the lower price wins, right? We found the opposite was true. We've been pleasantly surprised by how our new prices were received by our customers," said Phil Akalp, Corpnet's co-founder and CFO.
He added, "New entrepreneurs want personal attention to help them get their business off the ground. We're not a law firm so we cannot give out legal advice. However, we can provide the right level of 'hand holding' to guide our clients and help them avoid any errors in the process. Raising our rates lets us sustainably provide the type of service our customers need."
Akalp hopes that Corpnet will serve as a positive example to other small businesses that are looking for more sustainable pricing models. If there isn't room to compete in a saturated, commoditized marketplace, small businesses can still differentiate through unique service.
Corpnet is an online incorporation service that helps entrepreneurs get their business off the ground in a fast, reliable, and affordable manner. Through its website, Corpnet provides business filing services required for a variety of business needs such as: forming a Corporation or Limited Liability Company (LLC), filing for a DBA, Doing Business in Multiple States (Foreign Qualifications), Closing a Business (Dissolutions), Registered Agent Representations, and Corporate Compliance services and supplies for all 50 states.
Founded by experienced entrepreneurs Philip and Nellie Akalp, Corpnet is a private company based out in Westlake Village, CA. For more information, please contact Allison Bethurem, firstname.lastname@example.org, visit www.corpnet.com or follow @CorpNet on Twitter.
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