As most marketers will tell you, people will do business with those whom they know, like and trust (KLT).
This blog is the first of a three part series on the KNOW LIKE TRUST of pricing. It discusses the ‘KNOW’ aspect and explores the frequently asked question of whether to display pricing.
Know Like Trust begins when you invest in helping your customers get to know who you are. In the context of pricing, does your customer know your pricing? Are your prices displayed on your website or do you hide your price list behind an email form and download?
“People don’t buy what you do; they buy why you do it. And what you do simply proves what you believe.”
Simon Sinek – Start with Why
Getting to know you, getting to know your prices. Does displaying your prices align to your WHY?
Here are some thoughts which might help you answer this question specifically for your business.
Alignment
Displaying your prices should be consistent to you, your brand and marketing strategy. If you talk openly about your business, your values and yourself on your website and then you don’t display your prices and hold them close to your chest, isn’t that inconsistent? If your brand is all about transparency, then the expectation is that you will display your prices on your website, because that’s being transparent.
Customer Experience
Consider your customers’ preferences. Will they be frustrated by having to provide an email address just to access your pricing information? Have you asked your clients or prospects for their input on this matter? Understanding their perspective can help you make an informed decision
Time Saver
One reason to display your prices on your website is it saves time. It helps filter out potential clients who may not be willing to pay for your services at the level you value. This practice acts as gatekeeping, allowing you to focus your energy on meaningful conversations with clients who are aligned with your pricing structure. After all, time is a precious resource for both you and your clients.
Influence what people choose to buy.
Displaying your prices opens the possibility for you to use pricing psychology to influence what packages your potential client will choose among all the packages that you offer. For example, if you have 3 packages and you know that a certain package has the most impact, you will be able to display that package as the best value price compared to the other packages. Or you may want to display the offering you want your clients to go with as the middle price, in the same way, a restaurant menu always displays 3 wines per varietal, the middle-priced wine being the most popular (you don’t want to appear too cheap, nor do you want to feel like you are paying too much). It’s all about influencing the perception of value.
You can do Both, especially for Ad Hoc or Bespoke projects.
Quoting a FROM price or price range will filter out potential clients who aren’t willing to pay for the value you are providing. You can then have a conversation on the outcomes/value that clients are after and gain the additional information you require to price your offering.
Having that conversation gives you the flexibility to tailor your pricing to the unique value you bring to each project. This approach enables you to align your pricing with the specific benefits your clients will receive. It’s one of the most effective methods for pricing based on value.
Hope this helps you in deciding whether to display prices for your business. If you need help deciding or require further clarification, feel free to book a call via this link.
