What Does Your Pricing Say About Your Business?
Let’s imagine you’re meeting potential clients for lunch. You’ve never met them before and you’ve made reservations at a swanky, downtown restaurant. The first one arrives driving a Lamborghini. The second one arrives in a Chevy Cruise. You assume the guy in the Lamborghini is the boss and since he’s driving such a nice car he must be doing really well.
Why did you make that assumption? Because we assume that people who drive fancy, well built cars are successful.
The same is true in business. We have come to believe that people who charge high prices for their work must be really good at what they do. Conversely, we believe that people who charge less aren’t as skilled.
Is it really true that the attorney wearing an expensive suite and working in a fancy office is a better lawyer than the one working in shared office space? Maybe. Maybe not. But perception is reality.
If you want to attract high end clients then you need to charge high end pricing.
So apply this thinking to your own business. What does your pricing say about the quality and value of your work? Are you thought of as the low cost provider and therefore inferior to your competitors? Or do people believe that because your rates are high they are hiring the best?
There is a place for everyone in the marketplace, but be thoughtful and strategic in your pricing so that you are attracting the type of clients you want.
When it comes to pricing your products and services people associate the quality of your work with your pricing. If you want to be thought of as smart and capable then price yourself accordingly.
About the author: Meg Huwar is an award winning Marketing & Brand Strategist and Founder of Brand Accelerator. She and her team work with companies who want to market their business but don’t have the time, experience or staff to do it themselves. Meg can be reached at email@example.com.