How do I make sure I’m charging the right price for my...

How do I make sure I’m charging the right price for my products and I’m not charging too much?

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There are three tips that you can use to help you determine whether you’re charging the right price.

Too many entrepreneurs enter the market and make the mistake of thinking that if they charge less than their competitors they will get business. What they should rather be doing is:

  • Become a premium provider – customers want quality. Try resist the urge to sell baseline products. If you become known for the quality products or services you provide, word-of-mouth will bring you customers.
  • Define your value – instead of thinking that customers are only interested in the lowest price, you should help them understand why your prices are set as they are. Demonstrate the return on investment(ROI) for purchasing your product. Be careful about playing the low price game : if you’re up against a large company, you may end up in a price war that you will lose.
  • Go the extra mile – Customers are as interested in a positive customer experience as they are in a quality purchase. Make sure you and your employees are aware of your customers’ needs, try anticipate them, and go the extra mile with exceptional service. In the majority of cases customers are prepared to pay that little bit extra for the quality service they receive.