How do I know if my pricing is right?
Legend has it that Pablo Picasso was sketching in the park when a bold woman approached him.
“It’s you — Picasso, the great artist! Oh, you must sketch my portrait! I insist.”
So Picasso agreed to sketch her. After studying her for a moment, he quickly created her portrait. He handed the woman his work of art.
“It’s perfect!” she gushed. “You managed to capture my essence in one moment. Thank you! How much do I owe you?”
“One thousand francs,” the artist replied.
“But, what?” the woman sputtered. “How could you want so much money for this picture? It only took you a second to draw it!”
To which Picasso responded, “Madame, it took me my entire life.”
Picasso understood the absurdity of pricing by the hour, but there are a lot of things he could’ve done better like agreeing the price up front.
There’s never been a client we’ve worked with that hasn’t been able to increase the price of their product or service.
Some of our small business clients have even been able to increase price and increase volume by offering options, guarantees and other low cost, high value add on services.
Of all the drivers in your business nothing gives a greater upside than improving pricing because all of the gains are net profit.
That said, it’s not as easy as just increasing your price. It needs to be part of a well thought out strategy.
Talk to us today and you too can benefit the upside that our clients have experienced.