Episode 265: Pricing For Your Business
Rob Cairns talks about pricing in your business and why the race to the bottom is not a good idea.
Hey everybody, Rob here again today.
So a podcast I wanted to throw out some quick tips around pricing.
And frankly, in the web design game and the marketing game, pricing is always an issue.
And I’ll tell you why.
Customers like to do things like can you give me a cheap hourly price?
Can you do this cheaply?
And they seem to realize or think they know that pricing.
Is always everything.
And they think pricing is a solution to everything.
And all their problems.
And I would argue it does not.
Frankly, if I were an agency, I wouldn’t be fighting no over price.
Because that is a race to the bottom.
And you’re better off, as Robert Blum says in the book, the Inside Advantage.
Wider agency is different than other agencies.
And why different is better than actually fighting that race to the bottom.
I wouldn’t be doing it.
So that’s the first thing there.
Uhm, the second thing is.
Let’s talk about bot what I call bottom feeder clients, or tire kickers, or whatever you want to call them.
They are usually.
The problem right now.
Ones who want bottomfeeders.
They’re they’re a bit of an issue.
They usually want everything for nothing.
And they want everything for.
Rolls Royce results.
Cheap car prices.
And that’s not a good thing.
You can’t do that.
So if you want Rolls Royce results.
Then you’ve got to be prepared to pay.
Rolls Royce prices.
And as an agency, I don’t believe in charging by the hour.
I believe in charging by the project and people say, but you only work so much.
By the hour.
And my argument would be I bring expertise to the table.
Shouldn’t be charged by the hour.
Because I always factor in in a project what my expertise is, what I bring to the table, what I do in a solution and if you charge by the hour.
And my good friend Sam Moonos had a tweet thread out there this morning.
That basically said.
If I charge by the hour and I do it quickly, I make less money.
And that’s not really fair.
You got the job done, you got done, right?
The client got the outcome result.
I was charged by the outcome and the result, not by the hour for that exact reason.
Because I’m more efficient and I can do it faster.
Why should I make glass?
It’s a really good point.
I also would rather have two or three clients at the high end.
Then five or six at the small end.
The five or six at the small at the low ends are actually going to drive me more insane than the two or three clients that I in, and I’m probably just going to make just as much.
That’s the other reason why I tend to price a little bit higher.
I’ve been doing this a long time.
And I think.
And I think.
Your pricing like?
But don’t charge it to bottom in because if you do, you won’t be in business all.
If you charge more at the high end.
You’ll actually do a lot better in the long run and get the kind of clients that appreciate you and wanna pay what you’re worth and that’s it.
As always, Rob Caron, CEO, chief creator of Amazing Ideas, founder at stunning digital marketing.
Throwing some ideas about pricing out there.
Have a great day.
Bye bye for now.