In this digital world, you have an essential decision to make when promoting your services and prices: do I display them online or not?
On the one hand, if the cost is listed openly without any engagement experience with a salesperson (or yourself), prospects may oversight the Value you offer or may become suspicious of the quality due to their comparison shopping. Alternatively, if you have prospects jump through hoops to get your pricing information, they will likely be put off by the time commitment required.
Here are two trains of thought:
1. The Old-School approach
Do not state your prices online, and let your prospect read through your Copy and get them excited so that they fill out a form (to demonstrate their seriousness). And once they submit the form, you (or your Team) reach out to them to address their needs.
The Old-School method might work best if your Business is an established enterprise with plenty of marketing roots to bring in leads for your sales team. And possibly, there is little competition in your marketing domain (Google Ads, Google Search Engine, right time right price), as your Business has established itself as the market leader – the Go-To Business.
If you opt for this approach, ensure you invest and jazz up your website to attract the customers you want. Your website is your virtual storefront.
2. The Digital Approach
Display your prices online and let your prospect compare.
Prices can repel the wrong type of customers and attract the right kind to your Business. It’s a win-win situation.
By stating your prices online, you will filter out the non-qualified prospects and eliminate those who cannot afford your services. Thus, saving you time and energy on having lengthy phone calls with unqualified buyers.
In this digital era, information is everywhere, prospects’ patience is scarce, and their time is tight. Moreover, competition is sky-high; your prospects only have limited time to shop around.
New-Age Pricing Practice.
Therefore, the next question is how to increase your chance of conversion when times are tough; you don’t want to lose any prospective buyers who may fit within your asking price, but on the other hand, you do not want to waste time with buyers who cannot afford your services?
Here’s how.
If you want to capture two or more market segments (customers with different budget expectations) and address the “how-long-is-a-piece-of string” type of scenario, I would recommend using the Tiered-Pricing model.
Tiered-Pricing provides a pricing structure from the lowest (Starter) to the dearest (Premium) fee scale, leading to a “Get A Quote” call to action for customisable needs. You can have a 3 to 5-tier service range for your service business.
Here’s some examples
Integrate Live Chat
Take advantage of technology such as Live Chat that allows prospective customers both convenience and the engagement opportunity to interact with your Business. Using this approach, they will not only have access to necessary information for making educated decisions about products/services, but they will most probably buy once they understand the price vs value proposition.
This technology has revolutionised how businesses connect with customers and build relationships. The most significant benefit of live Chat is its ability to provide immediate customer support and pricing explanation. With a live chat agent available 24/7, customers can get their questions answered quickly and efficiently, reducing wait times and improving customer satisfaction.
Conclusion
Stating your prices online has both advantages and disadvantages. It will make your Offer appear as a commodity like the rest of your competitors, or it can attract the right kind of customers for your Business, thus optimising your time and resources spent on qualified prospects.
Stating your prices could also enable transparency on your deliverables and offer your prospects a sense of certainty.
To have our Team create a Tiered pricing model chart for your website, reach out to our marketing team.
