When it comes to learning how to charge higher prices, there are some very important lessons that need to be understood first...
Lesson number one?
There is no strategic benefit to being the second cheapest in the marketplace, but there is for being the most expensive.
That’s why positioning yourself as the cheapest option to bring in more work is just lazy sales and marketing that leads to poor results and little to NO profit.
If you want to build a great business and charge more for your services, then you need to differentiate yourself from the rest of the pack and provide greater value…
NOT reduce your price!
This is the only way to escape being commoditised and entering a race to the bottom of the barrel…
Getting the prospect to STOP and think differently about your service and offer to actually assess the value of it.
This is establishing your own category because it’s too difficult to compare prices, which means you’ll re-calibrate the prospect’s value-meter.
Making it an apple to oranges argument...
Commoditised = Price-Driven Customers
Differentiated = Value-Driven Customers
KEY NOTE:
When you’re the same as everyone else, you’re commoditised, which means the customer will assess you from a PRICE perspective.
Whereas, when you’re different to everyone else, you’re differentiated, so the customer can only assess you from a VALUE perspective.
If you're an electrician, plumber, painter, carpenter, or any other trade business owner who is looking to take their business to the next level, click here to learn more about how our team can help!
