This is a question that has been floating around small business networking meetings and seminars for years and years. The opinions go back and forth and there are decent points on either end of the spectrum to consider. There are a lot of ways price your packages, and it’s something we’ve gone into detail about if you have attended one of our webinars, or purchased our in-depth lesson about pricing, packages, and add-ons. So rather than telling you what to do, I’ll tell you about some things to consider before you post your pricing so you can decide what is best for you.
Is your pricing a value statement?
Value Statement: A declaration that informs the customers and staff of a business about the firm’s top priorities and what its core beliefs are. Companies often use a value statement to help them identify with and connect to targeted consumers, as well as to remind employees about its priorities and goals.
So it’s important to consider what your pricing model is, and if it’s something you want to promote. If you are a new(er) company and affordability is something that you are attracting customers to your business through, then perhaps posting your pricing is a good thing to do. For example, if the average pricing in your area for a wedding reception DJ is $900 and you offer it for $700, then that would be considered a value statement of your business, and something you might want to promote. If you are one to offer deals on Yelp.com and other sites that give uplighting for a discounted price, or a DJ for a holiday party for $400 whereas everyone else is $200 per hour, then you might want to consider posting your pricing on your website because one of the reasons people will contact, is based on that fact alone. If you are average pricing, or a premiere pricing DJ (or strive to be) posting pricing is probably not a good idea and I’ll elaborate as to why, below.
Too much information does not lead to conversions
A website conversion is the most important factor to the success of your online marketing strategy and goals. It means getting your visitors to do what you want them to do, whether that is to buy your product, sign up for your newsletter, register for a webinar, download a whitepaper, or fill out a lead/contact form.
So, the basics of this concept are simple:
if you disclose all of the necessary information on your website when a potential customer visits it, what is the point of contacting you? More often than not, your site visitor will look at your site, look at some examples and perhaps read some of your literature, and then go to the disclosed pricing page and see if it is for them, or not.
Since everyone wants to do a little price comparison, they go to the next site.
That site may not have pricing disclosed on their website, so in order to acquire the pricing, the client says “I guess I’ll fill out a quote request or contact form so I can get this businesses pricing”. The potential customer then gets an email back from that business/DJ and starts a point of contact with them.
From there, the business/DJ would most likely mention something about a consultation before giving an accurate quote, or would attempt to only give a starting price and would insist on meeting in person or talking on the phone before giving an accurate quote and there you have it, a conversion was made.
Most likely, the website that the customer visited first and had disclosed pricing on would NOT get the event.
Why? They missed out on the opportunity to speak with them or meet with them in person, as their website never funneled the potential client into a conversion.
DJ’s sell services, not products!!!
That’s right, there is a huge difference in strategy for those who would want to attract and convert sales of products, versus services. Products are all about price, warranties, ease to acquire, etc. Services are unique in that they are not all the same, not even close. In order to properly sell a service, you need to interact with your potential customers.
So there you have it. Conversions are made, by not disclosing too much information. If you’re attracting potential clients to your business by price, first and foremost, then maybe posting pricing is for you. Or if you happen to be so busy and established that you simply don’t have time to negotiate and discuss pricing and meet with people that may or may not be able to afford your pricing then perhaps posting pricing is for you.
But more often than not, it leads to fewer contact forms and fewer consultations.
The fact of the matter is, there is always a bit of sticker shock in the mobile DJ industry, particularly for high-end corporate events and weddings. So rather than just posting some high priced service without any explanation, it’s typically best to urge people into meeting with you so you can use value statements to show your clientele why the cost is what it is and prove your worth to them in a sales presentation.