When it comes to pricing, whether you realize it or not, your customers are sometimes dropping hints.
How many times have you had a customer ask the price of a product, and after hearing the amount, say, "Gee! That's all?"
Probably more often than you'd care to admit.
About a year ago, I was referred to a company whose clientele consists of the very rich, and the very famous. I was asked to produce a small, but fairly simple, backlit panel for one of their products.
When asked how much the panel would cost, I thought I was being pretty crafty, by taking into account the income level of their well-heeled clientele.
I priced the panel at twice the amount I normally would. When I blurted out a price of $150, guess what happened?
I was laughed at! Was I gouging?
The business owner smiled and said, "Charge me $200, and spend the extra $50 on your daughter.
I felt like an idiot. How badly did I miss the mark? How much could I have gotten away with without the customer flinching?
Shortly thereafter, I was aked to drop by the shop and talk to a client's "point man" regarding nomenclature for various switches.
Armed with the knowledge that I offer a crucial service, and realizing these people are depending on my expertise, I was only two hours into the project, and I counted myself in for $200. 1 hour consultation and 1 hour creating a computer drawing.
Who knows? I was probably still too low, but after being laughed at, I plan to take that hint to mean, when entering the world of the pampered and demanding, I'll need to be equally adamant about demanding what I deserve for my many years of accumulated knowledge.
Moral of the story?
Do yourself a favor - Learn to take a hint
You'll be glad you did :-)
David "The Stunt Engraver" Lavaneri
DGL Engraving
Port Hueneme, CA |
