In this short instructional video, Mike Michalowicz (author of Profit First) explains a pricing technique called the "comparative" that helps accountants and bookkeepers win more projects. He demonstrates how presenting visual elements side‑by‑side makes size differences obvious, and then translates that insight to proposals: display three pricing options on a single page, ordered from highest to lowest price. This layout leverages the human tendency to compare items shown simultaneously and follows a "Germanic" reading pattern (top‑to‑bottom, left‑to‑right), making the highest price the anchor and the subsequent lower prices feel increasingly comfortable. Michalowicz cites studies that three options are optimal—enough to give choice without overwhelming the prospect—and warns that more than three can cause decision fatigue. By using this comparative, descending‑order format, accountants can differentiate themselves from competitors and increase the likelihood of winning the client’s business.
Chapters
Hi, I'm Mike Michalowicz, I'm the author of Profit first and I've teamed up with Intuitive Accountant to bring you this tip. It's called the comparative. Look at the circle on the screen. Now look at this next one. When they are shown on separate screens, it's hard to tell the difference. But when they're shown next to each other, it's easier to see which one's bigger and which one's smaller. It's called a comparative. In fact, if I put circles around those initial circles, it becomes very obvious which one is bigger and which one is smaller. Our mind and your prospect's mind is designed to compare things that are presented simultaneously. Well, here's the trick for you. When you do a proposal for your clients, show them your value based pricing in a comparative format. That means on a single page with multiple pricing options, show option one, option two and option three. And yes, studies do show that three options are the optimal. It makes your customer feel comfortable that they have the ability to make a choice of their own and are not being controlled if you will, or directed by you. But there's few enough choices that it's obvious which choice to make. If you do more than three options, it can become overwhelming. One more trick. When you do your comparative pricing, price your options from the most expensive price, the highest price, down to the least. Why? When your customer goes through it, they follow what's called a Germanic reading process, means we read from top to bottom, left to right. When they go through that process, the first number they see will be the biggest number. That sets the stage for the comparative. The second number, being smaller, will feel more comfortable. And then of course the last number, even smaller again feels more comfortable. If you do the reverse, like many of your competitors probably do, and show the smallest number first and build up, it gives the customer a feeling of uncomfort or discomfort is the right word as they go through the proposal. So use the comparative pricing strategy. That's three options on the same page in reverse order. It will definitely make you stand out from all other accountants and bookkeepers and give you the project.
