As a service-based business owner, one of the toughest decisions you’ll have to make is how to price your services. But even before that, you have to decide whether or not to display your fees on your website. It’s a conundrum that many solopreneurs, coaches, and consultants face. On one hand, you want to be transparent and avoid the dreaded “how much do you charge?” question that can make potential clients hesitant to work with you. On the other hand, you don’t want to scare off potential clients with prices that seem too high or too low. By displaying your prices without being able to have a conversation, you may also feel that the prospect doesn’t have full appreciation of the value you offer or work that will go into the service you provide.
As a business coach, I work with many service-based businesses, and I’m often asked about the best way to price their services. The truth is, there’s no one-size-fits-all answer to this question. Your pricing strategy will depend on a variety of factors, including your industry, target market, and competition. However, there are some general rules of thumb that can help you determine the best way to price your services.
One of the biggest decisions you’ll have to make is whether or not to display your prices on your website. Some businesses choose to list their prices online, while others prefer to keep their fees hidden until after a consultation or discovery call.
There are pros and cons to both strategies, so let’s take a closer look at each one.
Pros of Displaying Your Prices Online:
- Transparency: By displaying your prices online, you’re being transparent with potential clients about what they can expect to pay for your services. This can
help build trust and establish a sense of credibility with your audience.
- Efficiency: Displaying your prices online can help you save time by weeding out potential clients who aren’t a good fit for your business. If someone can’t afford your services or isn’t willing to pay your fees, they’re less likely to waste your time with an inquiry or consultation call.
- Competitive Advantage: If your prices are competitive or lower than your competition, displaying them online can give you a competitive advantage. Potential clients may be more likely to choose you over a competitor if they can easily compare prices.
Cons of Displaying Your Prices Online:
- Limited Flexibility: By displaying your prices online, you may be limiting your flexibility when it comes to negotiating fees. If a potential client sees your prices online and wants to negotiate, you may have less room to manoeuvre than if you hadn’t displayed your fees upfront.
- Sticker Shock: If your prices are higher than your competition or are considered “premium”, potential clients may be scared off by the price tag. They may assume that your services are out of their budget, even if that’s not the case.
- Undervaluing Your Services: If you’re new to the business or don’t have a lot of experience, you may not have the confidence to charge what your services are worth. Displaying
your prices online can force you to set a price that’s too low, which can undervalue your expertise and experience.
Not Sure What to Do from Here? Start Taking Action by Doing the Following 3 Steps:
- Evaluate your current approach to displaying prices on your website. Are you currently displaying prices? If not, why?
- Consider the benefits of displaying prices on your website, as outlined in this blog post. Do these benefits align with your business goals and values?
- If you decide to display prices on your website, take the time to ensure they are accurate, clear, and easy to find. Make sure they are presented in a professional manner that reflects the quality of your services.
If you’re in the early stages of building your service business – or know you have gaps in your foundations, my group program may be the support you’re looking for. You can check out Beyond the Hourly Rate HERE.