free small business advice & information

Loading
Article Index
How to Price Your Product or Service
Cost and Price Versus Value
Building a Cost Structure
Checking the Competition
Marking Up
Margins
Flexible Pricing
Aim High
Special Tactics
Other Considerations

How to Price Your Product or Service

How to I use the competition to determine my pricing?

You must use whatever competition you will face (and it is sure that you will face some) to determine your pricing.

  • Get prices/quotes from your rivals. Phone them up directly, or get someone else to do it for you.
  • Work out the average price and use it as benchmark. Avoid setting a price that is substantially lower or higher than this average – too low a price will reduce your potential profits, and too high will see you losing out to your competitors.


Labels: Increase Sales