Dennis H. Lewis argues that many entrepreneurs and small businesses underprice their products and services out of fear of losing customers. He recommends charging higher prices to attract customers who value and can afford the offering, and warns that low-paying customers often create more problems than value.
Chapters
So I think it's fair to say that most entrepreneurs and even like small, small businesses underprice their, their services or products and services. Yeah, that's true. There's a whole fear factor in, oh my God, if I charge a high price, I'm going to lose my customers. They're all going to go away. Nobody's going to want to buy from me. I fall victim for this mentality quite often. I like to say that if you don't scare people with your prices fairly regularly, you're not charging enough. Why is that? Because you don't want cheap ass customers. You want the good ones. You want the ones that value what you do and are willing to pay for it and can pay for it. Because it's not always about willing. Because there are a lot of people that would be willing to buy a Lamborghini, but they can't. Well, you know, if you're selling tiny little economy cars at the budget is lowest price available on the market, well, you're not going to attract the people that can afford a Lamborghini. That makes sense. And it's not that that's not necessarily an okay strategy, I mean, but it's definitely a, it's a hard strategy to eke out a good living off of because cheap ass customers usually, and I'm old and have a lot of experience, they usually end up being more pain than value. They're just not worth it. And I don't want to come across as being, you know, mean or cruel or anything, but it's just the fact of life that if your customer is trying squeeze you down to the last penny because they're afraid of spending more than they should, then you don't want their money, don't take it, let them go somewhere else.
