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How to price a service when you have no competitors to copy

A short, useful read for the HubCage community. Pricing feels like guesswork when nobody around you sells the same thing. Start from the customer side instead of your costs: what does the problem cost them today in…

Author
Hannah Weiss
Published
UTC
Updated
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Source host
hbr.org
Reading time
1 min

A short, useful read for the HubCage community.

Pricing feels like guesswork when nobody around you sells the same thing. Start from the customer side instead of your costs: what does the problem cost them today in time, money or missed opportunities? A price that sits clearly below that number is easy to justify, while a price built only on your hourly rate tells the customer nothing about value.

Offer two or three packages rather than one figure. A smaller option gives cautious buyers a safe way in, the middle option carries most of your work, and a premium option with faster delivery or extra support anchors the others. Review the mix every quarter; if everyone buys the cheapest package, the middle one is probably priced wrong, not the customers.

Tagsfreelancingpricing

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