10 ways to increase your perceived value and make customers love your prices
This week I was having a conversation with a new client who was leaving her corporate position to start her own business.
And we inevitably landed on the one thing every new entrepreneur stresses about — Pricing.
Pricing your services is every business’ rite of passage
But most people don’t know where to start…
If you’re constantly having to negotiate your pricing or sell with a discount — or worse — your clients just aren’t showing up then you may be communicating your price wrong.
Firstly, let’s take a look at how you can figure out a fair and profitable price
1/ Be aware of your competitor’s price — but don’t just copy them
2/Take into account: Your experience Your reputation The market you serve (Get to know your customers to determine just how valuable your services are in their eyes)
3/ Find a number you feel happy with — something that feels like a fair exchange for your time, and experience. As a service provider You could come up with an hourly rate and estimate how long it will take you to accomplish the job or You can price per project this takes into account time spent and the value your customer is gaining.
4/ Give yourself a profitable price range by adding 30–40% to what you thought. (this allows some flexibility for you and your customer) But Remember: If you charge the same or more than your competition, you need to show customers what makes you different and communicate your value in your sales copy. *Being cheaper than your competitors is not a USP
Even if you check these boxes, it won’t convert your prospects if your pricing copy isn’t right.
Your copy needs to be transparent. Instead of justifying the price — Use your copy to emphasise the value they will receive.
Not sure how to communicate your value?
The good news is that you can boost sales on your product, services, or pricing page with just a few small copy tweaks.
Here are 10 simple ways to increase your perceived value and make customers love your prices.
1/ Outline the Value You Bring
This is the time you can brag a little about yourself. Highlight your track record. Show off any awards, or accreditations but don’t go overboard.
List things that are relevant to your offer.
Scatter testimonials — people trust what others say about you more than what you say.
Explain how pricing is defined. If your pricing depends on variables you can disclose, say so. This helps clients understand that pricing is both flexible and scaled to the size of their business.
2/ Piggyback
Leverage established trust, credibility, and value of others within your network to enhance your brand’s image and service.
If you have a connection between you and someone that your target audience already values, you can enhance your perceived worth.
Consider:
Endorsements from well-known figures, industry experts, or reputable brands
Strategic Partnerships and Collaborations If you’ve worked with some amazing companies use their logos to give an idea who you currently help and the possible budget required to work with you.
Associate with Industry Events and Organizations For instance, a tech startup sponsoring a major industry conference can improve its perceived value among attendees and industry peers.
3/ Draw sneaky comparisons with competitors.
Tidycal focuses on their pricing differences by highlighting their one-off payment when compared to Calendly’s yearly payment (knowing this is their customers’ objection sets them up for a win)
Highlight your improvements, additional features, or superior performance, and help your customers understand the benefits of choosing you over any alternatives.
4. Make your Pricing Visual
“Pricing suitable for all budgets” is brain-numbingly vague. Your leads will likely assume you’re hiding your pricing and conclude their budget is too low
Anchoring is a cognitive bias where people rely heavily on the first piece of information presented to them.
To influence price perception, you’ll want to connect your initial “anchor” to something your audience is familiar with — something visual and concrete.
Think of your word choice — what can you anchor your pricing to? Is your ebook cheaper than a cup of coffee? How about less than a Netflix subscription?
De Beers, for example, equates its diamond value to 2 months’ salary.
5. Highlight Your Unique Selling Points (USPs)
Emphasize your USPs or what I call Your Unfair Advantage
Your USP might surprise you.
Rachael Ray has become a household name for her quick, simple, and delicious recipes. While some might think her lack of formal culinary training is a weakness — (Rachael adamant says she’s not a chef) her approachable teaching style and emphasis on simple yet flavourful dishes resonated with home cooks who wanted to improve their skills without being intimidated by complex recipes or techniques.
Seeing a gap in the market and capitalising on her niche has given her the ability to become an expert in her field and build a successful food empire spanning television shows, cookbooks, and a lifestyle magazine.
Don’t be afraid to embrace your uniqueness.
6. Take away their Now pain
Write copy that frames your service as a Painkiller (something that gets rid of their NOW problem)
Pinpoint the problem they want to take away urgently.
Do your services save your customers time, effort, or frustration?
7. Provide Tangible Results — Back up your promises
Make a promise and Give them proof.
When you tell them WHAT they will be able to do or achieve, you need to explain WHY:
When possible, quantify the value of your products or services using concrete data or statistics.
8. Offer a Guarantee
Provide a money-back guarantee, or warranty to reduce any perceived risk and demonstrate your confidence in the value of your products or services.
People prefer to avoid losses rather than acquire gains. Zappos’ has a 365-day return policy, and Patagonia has a lifetime guarantee.
9. Name packages or options based on customer segments
If you offer packages, services, or products that are geared toward customers at different pricing tiers, choose names that reflect your target customer segment.
For example, if you sell corporate subscriptions, you might name your subscription options “small team,” “enterprise” etc
Or you could use the names “basic,” “pro,” and “premium” to match your clients with different needs.
When you name your packages like this, it makes it easier for potential customers to identify the one that’s right for them.
10/ ADD Bundles and Bonuses
Bonuses should AMPLIFY your offer, not detract.
Make sure your bonuses add value to your original offer.
For example, if you’re offering a website design — adding an audit, or a landing page checklist is a good bonus compared to a 100-page time management book.
Highlighting your “most popular” package or product can speed up your customers choice process.
Placing a “most popular” or “Best value” label reduces confusion and identifies the best option to fit their needs.
Spotlight your “most popular” package or product
Adding a “most popular” label reduces confusion for customers by clearly identifying which option will probably fit their needs the best.
Finally, Continuously experiment with different approaches to find the most impactful ways to communicate your value and differentiate your brand in the market
Next time you’re discussing your price with your prospect see how they react. Are they quick to say yes? Do they push back? This will tell you whether you’re targeting the right audience and whether you’ve communicated your value to them.
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