High or low pricing- which way to go?


Hey Steve,

So I’ve been going through a lot of “future thinking” and thinking about my pricing. I want your opinion on this. I live in a small town with just average incomes and average lifestyles.

I believe I have the highest quality carpet cleaning company in my area. I really focus on the experience and deliver exceptional results. That being said, I am also WAY higher than most carpet cleaners as far as price goes. The majority of cleaners are around .30-.40 per SF. I start at .50 per SF and go up to .75 for my best program.

In talking with a lot of my clients and getting opinions from different individuals- I was told by a lot of people that the quality of work I provide is exceptional and that they would definitely use me again, but when it came to referring me to other people, they found that the price tag for my service really scared people away. I often run into the comment “WOW!! That is nearly TWICE as much as the last guy that cleaned my carpet “.

So… that is what started me thinking of the long term goal of my company. I want to be affordable for the majority of families out there. Do you think I should drop my prices to be more affordable for my community, or do you think I should stand strong and hold my ground?


Divided in Dallas

Actually, Divided, the big question has nothing to do with price and everything to do with you!  In other words, what sort of company do YOU want to own and where do YOU want to go?  IF you want to stay the high priced, boutique route then you may be better served to stay as an owner-operator where you personally can do or at least supervise the work.  OR if you want to go the mass market route then you are correct that you may need to “main stream” your pricing a bit.  Even though you will be amazed at the premium price your Value Added Service will allow you to charge.

What would I do?  Well, Divided, I subscribe to the old fashioned idea that the primary purpose of business is to make the most amount of money in the least amount of time with the least amount of money and emotional effort invested in the endeavor!  Now if you believe likewise then it just comes down to where is the “sweet spot” in your company growth financially?  Now it gets a bit more complicated when you factor in ego, the joy of creation and the idea of “working yourself out of a job”, all of which have their appeal. I’ve summed it up before in my writings by saying, “What do you want to be when you grow up?”

So Divided, I guess at the end of the day it all depends on YOU.  Sorry that it took me almost 300 words to say it!


P.S.  One other reminder, Divided.  Never let others determine your definition of success!

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