pricing

[gene]

We talk occasionally about pricing on this forum.

Here's a link from SCORE about pricing that I came across. It's an online workshop.

I've started it but haven't finished it yet. I'll let you know what I think when I finish it.

gene


http://www.score.org/events/workshops/pricing-products-and-services

[gene]

30 minutes - time well spent. Not as detailed as I thought it might have been, but informative.


Your customers' expectations + your competitor's position = Your product's or services's market value


They talk about pricing and the law, such as price fixing. From my years in sales and marketing I always feel more at ease when we talk on this forum about "hours" rather than actual prices.


They encourage internet searches for competitors pricing. I've found a number of web sites over the years that post their prices. None in my area of the country, but they are still helpful to me in supporting my prices.


Service company: your service or time is your product.

This last item is mentioned often on the forum. Are furniture upholsterers a service company? Isn't it our skill and time that we are selling?

gene

[Rich]

Gene, I plan on doing that workshop whan I have more time, but just a quick comment; I've read posts on this forum many times where the participants thought adding up their hours and multiplying by their hourly rate was all it took to price their service. I've always said that no customer cares what you have to do to keep your doors open, all they care about is what the price you are quoting means to them in terms of the value they place on the service. That's it. Sometimes, it's lower than what the labor arithmetic works out to be, but sometimes it's more. I want to know what it costs me to do the job, BUT, more importantly, I want to price to the customer's percieved value. It can't always be done to their satisfaction,, but it shouldn't be just about hourly rates.
Rich

[brmax]

gene
I been looking in the search areas for busines topics and seen a year or so old post about SCORE you mentioned.  Just wanted to say thanks for the mention i have since registered and plan to try some of the online and possibly work shops they offer they are different places and time frames.
homework sometimes !

thanks for the tips