Starting a service-based business can be exciting, but it can also be challenging when it comes to setting prices and structuring service offerings. By following the lessons below, you’ll be able to create a pricing strategy that is profitable and aligns with the needs of your target market. Remember, pricing and structuring service offerings is not a one-time activity, it’s a continuous process that requires monitoring and adjusting to ensure it aligns with your target market’s evolving needs.

Lesson 1: Knowing Your Costs

Learn why it is important to know all the expenses that go into providing your services
Discover different types of costs like direct costs, indirect costs, and overhead costs
Create a cost sheet that lists all your expenses

Lesson 2: Researching Your Market

Discover the importance of researching your market before setting prices
Learn how to research your competition and their prices
Find out how to research your target market and their willingness to pay for your services

Lesson 3: Finding Your Unique Value Proposition

Understand the importance of having a unique selling point to set prices
Learn how to identify your unique selling points and how they differ from your competitors
Learn how to communicate the value of your services to your target market

Lesson 4: Setting Your Prices

Learn about different pricing methods like cost-plus pricing, value-based pricing, and competitive pricing
Find out which pricing method aligns with your business goals and target market
Set your prices and determine any discounts or promotions you will offer

Lesson 5: Structuring Your Service Offerings

Learn about the importance of structuring your service offerings to meet the needs of your target market
Discover different types of services you can offer and how they align with your target market’s needs
Create package deals and bundles to offer your services with more perceived value

Lesson 6: Continuously Monitoring and Adjusting

Learn about the importance of continuously monitoring and adjusting your prices and service offerings
Use data and customer feedback to inform changes to your prices and service offerings
Monitor your competition and adjust your prices and service offerings as needed
Continuously measure the performance of your prices and service offerings to ensure they align with your target market’s evolving needs