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Product pricing and the value triangle · The Resilient Retail Game Plan - retail insights, retail trends and best practices

0:00
If you want to build a resilient retail business, then you need to
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start pricing your products like a business and not like a hobbyist.
0:08
In this episode, we're going to be talking through pricing, step by
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step, discussing why it's so difficult and how the value
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triangle, which covers price, quality and desirability,
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can help you feel really confident charging what you and your products are
0:22
worth. Welcome to the Resilient Retail Game
0:26
Plan. I'm Catherine Edley and in the next few minutes you're about to get
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powerful real world retail strategies from insights shared both
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from my guests and myself, backed up by my 25 years
0:37
in the retail industry. Keep listening to learn how to grow a
0:40
thriving, profitable product business. Let's jump in with this latest
0:44
episode. Now,
0:48
pricing is an absolutely fascinating topic and one that I love
0:52
to dig into. And one of the reasons that it's so
0:55
interesting is that it stirs up a lot of feelings for a lot of
0:59
people, which is why I sometimes feel like starting your own business can
1:03
be a bit like a crash course in therapy. But
1:06
pricing is really something that cuts to the heart of all of
1:10
those questions around money mindset. It can make what should be a very
1:14
objective business decision into something that is quite
1:18
difficult. So there are different pricing
1:21
conundrums based on your business model. For example, if you are a
1:25
reseller so you mostly sell products that other people send you,
1:29
or that you mostly sell products from other retailers, retail businesses
1:33
or brands, then you will be given ARRP
1:36
recommended retail price by your suppliers. Now just
1:40
a quick note on that. Remember that the R, the extra R is there for
1:44
a reason. The recommended Nobody can actually tell you what you have to
1:48
set your prices at, that there has to be a recommendation only to
1:51
avoid things like price fixing. So no one can legally enforce
1:55
and make you sell your products for a particular price. However, it is
1:59
often a little bit easier for you if you are a reseller because
2:03
you are effectively given a product and you're given an indication of what the
2:07
price should be. Most of the time, product creators, whether it's something
2:11
that you're making yourself or manufacturing, they face a different
2:14
challenge. You've got to set your own pricing from scratch and that is
2:18
what this episode is going to focus on. Now, there's lots of concepts in
2:22
this episode that will be really relevant for you if you are a reseller as
2:25
well. If you're somebody who is communicating to your customers
2:29
about your products and their prices, there's going to be lots that you'll take away.
2:36
Ultimately, the heart of this is about what do you do when you
2:39
know that you need to set your prices and you're not already given something
2:43
to work from? One of the issues that I see come up a lot, and
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one of the reasons that I wanted to address this in this episode, is
2:50
that undercharging is a real epidemic
2:53
amongst small business owners. So what is undercharging?
2:57
Undercharging is when you consistently charge
3:00
lower than what the market rate suggests for your products.
3:05
And it is something that a lot of small businesses do. And
3:08
there's a few key reasons why it happens. One, simply speaking,
3:12
undercharging often comes from lack of confidence and lack
3:16
of confidence either in yourself or. Or in your product. So people might
3:20
say, oh yes, I know that people do spend
3:23
£90 on the Diptyque candle, but this is just my
3:27
candle, so why would somebody pay that? Or perhaps
3:30
you're looking at it thinking, well, you can get other handmade brands for this price,
3:34
but I think because it's mine, would people really spend that much on my candle?
3:38
So if there's an issue about belief in yourself and your product, that can often
3:41
lead people to end up undercharging to. The second thing
3:45
that often people talk to me about is they'll say,
3:49
I want to create a product that is affordable for my customer.
3:53
And therefore they feel like what they're doing is effectively kind of a
3:57
mission to keep their prices lower. And what I'd love to say to this,
4:01
which is said with much love, is that what your customer can and
4:04
can't afford is none of your business. Now, somebody said this to me
4:08
way back at the beginning of the my business, and it's actually really quite liberating
4:12
if you think about it, because if you're going to be insistent that
4:15
your customer can't afford something unless you keep it a certain price,
4:19
you can end up fighting with yourself and feeling like, oh, I can't increase
4:23
my prices. But actually, the truth is, you don't know what your
4:27
customer can afford. And it's not really your business to know. It's your
4:30
business to create a business that is going to
4:34
be sustainable for you financially in the long term. A
4:37
sustainable business has to support you financially. And if you don't get your pricing right,
4:41
if they can't charge enough money for their products, then they can't make enough profit
4:44
and they can't make enough profit, then they can't pay themselves. And I can
4:48
guarantee that if you can't pay yourself from your business in the next three to
4:51
five years, you will make a decision that this is just
4:55
something that you can't keep going with. If you really want to help your customers,
4:58
be around for the long haul and don't let yourself fall into
5:02
that trap of feeling like, oh, I can't charge more because my
5:06
customer can't afford it. The question of affordability is something
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that I find really fascinating because we often tell ourselves these
5:13
stories about what people can and can't afford. The truth is, if people really
5:17
want something, they will find the money for it. And you only need
5:21
to look at the Latest tech fad, AirPods or things like that that you
5:25
just think, reasonably speaking, you wouldn't expect people to be able to afford, but
5:28
somehow they do. So I think affordability can sometimes be something
5:32
that we tell ourselves that is maybe a story that we tell
5:36
ourselves that keeps ourselves feeling stuck. Three and the final reason
5:39
that people tend to underprice is that
5:43
they believe that low prices are more appealing. And of
5:47
course, yes, there are psychological price barriers. I'm not saying that price isn't
5:50
important, but people will often say, oh, I can't
5:54
charge more because I just won't sell anything.
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But don't forget, there is also this idea of being reassuringly expensive.
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And ironically, I've actually seen people increase their prices and see their
6:05
sales go up. Because before there was this disconnect in the
6:09
customer's mind, they were naturally a bit suspicious, thinking,
6:12
wow, if this product is really as good as they're saying it is, then why
6:15
is it this price? It just doesn't make any sense. Pricing too low
6:19
can backfire. It can lead people to believe that quality is not as
6:23
good as you're claiming. So if you're ever tempted to just keep your prices really
6:26
low because you're convinced that's the only thing that's driving your sales, then I would
6:30
challenge you to really have a listen to everything else that
6:34
I'm saying in this episode about how you actually go about setting your prices in
6:37
a logical way. Ask yourself, is it true that I have to keep my
6:41
prices at this point? And sometimes, you know, I will absolutely put my hands up
6:44
and say, sometimes there are people whose businesses the customer has a really,
6:48
really clear price point in their mind for that particular product and it is hard
6:51
to increase it. So I'm not saying that's never the case, but I've also seen
6:55
lots and lots cases of where people have told me categorically they can't sell
6:59
it for more, and they've actually gone on to increase their prices. And either seen
7:02
no impact on their sales, but a big impact on their bottom line or
7:06
actually seen their sales increase.
7:12
So how do you know if you're undercharging? Well, partly, as
7:15
we come on to talk about later, we'll have a look at how your products
7:19
are priced compared to your competitors. That's a really interesting and obvious
7:22
sign. If you wholesale your products into a retailer,
7:27
they are quite happily pricing it up and selling it at more
7:30
than what you're selling your products for, then that is a really, really clear indicator
7:34
that actually your products could be sold for a higher price.
7:38
So for example, I worked with a baby
7:42
skincare brand and they were selling, they had
7:45
small batch production, they were selling it into a retailer. They weren't really offering the
7:49
retailer full retail margin, but the
7:53
retailer was happy to take it in anyway. And I said to them,
7:56
they seem happy with this pricing, just check what they're actually selling it for. And
8:00
when we looked on that company's website, they were selling it for quite a lot
8:04
more than the person supplying the retailer was selling it for. And that is a
8:08
really good indicator that somebody else believes that your product can be and is selling
8:11
your product at more than you're selling it for. Another way that
8:15
you can tell if you're underpricing is how you actually feel. And this,
8:19
it may sound like an odd thing to say. One of the biggest indicators about
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underpricing is that you just feel really resentful. You think, I put all of
8:26
this time and effort into this product and after I've sold it to the customer,
8:30
this is how much I'm left with. And it just doesn't seem right. It just
8:33
doesn't seem like it's enough. And I think if you're feeling resentful about the
8:37
amount of money people are getting your products for, then that's a really good sign
8:41
that you need to look at increasing your prices.
8:45
So how do you actually go about setting your prices?
8:54
So how do you actually go about setting your prices if you
8:58
are struggling with this? If you find it really difficult, get somebody
9:01
who's not as close to the business, who's not in the day to day, a
9:05
friend, a partner, family member who can help you be a little bit more
9:09
objective. Make sure that they get what you're doing. They're not going to
9:12
tell you, oh, do you know what you've got to match as the prices or
9:15
something like that. Make sure that they get the mission and what you're doing, but
9:19
preferably someone who's a little bit removed. So they can help you be more logical.
9:22
What I recommend in terms of the approach to setting your prices is
9:26
that you start by setting your retail price, the price
9:29
that you intend to sell to the end customer.
9:33
Now, the reason I say that is that there is a school of thought that
9:36
what you need to do is you get the cost price or the amount that
9:40
you're spending on creating the product, and you multiply it by two
9:44
or four or whatever number people come up with in order to get your retail
9:47
price. But I'm not a fan of that approach for several different
9:50
reasons. First off, I think it's not rounded in reality.
9:54
I mean, you could do that. I did actually meet a team once from
9:58
Christian Labuta, and they were able to
10:01
do that. That's how they priced all their shoes. But that was Louboutin, you know,
10:05
I mean, they could set those prices because they could say it's going to be
10:09
800 pounds for a pair of shoes and somebody out there would pay it. But
10:12
most of us don't have that luxury. Most of us need to work within the
10:15
parameters, the marketplace in which we're operating. So
10:19
therefore, we don't just start by saying, these are my costs and therefore I'm going
10:22
to multiply it by four and get my retail price. The other reason we don't
10:26
do that is because if your prices go up, then the only option you've got
10:29
is to try and increase your retail price, which doesn't feel right either.
10:33
So I would suggest that you start by setting your price
10:37
that you would sell to the end consumer. If you're somebody who sells a lot
10:40
at wholesale, I still think you start with the price that goes to the end
10:44
consumer, because ultimately the person who's
10:48
selling your product at the end, the retailer, they're going to have to sell your
10:51
product in that marketplace. So you've got to make sure that your retail
10:55
price is grounded in reality. And this may sound obvious,
10:59
but I cannot tell you the number of people who, when I asked them how
11:02
they set their prices, they basically pulled it out of thin air, which
11:06
for some people works, they go with that approach. But for most of us, we
11:10
want to start by having something to pin our price on.
11:14
So how do we actually set our retail price? Well, the first step
11:17
I would suggest is that you find three similar brands to you
11:21
in terms of materials, sourcing and production, not necessarily
11:25
aesthetics. So, for example, if you
11:29
are a baby clothing brand, then if you are
11:32
making it in the UK with organic cotton, try and find
11:36
other people who are doing the Same thing in the same way.
11:40
There's no point in you comparing your UK made
11:44
organic cotton baby clothes to the Primark baby clothes, for example,
11:47
because you're just not even looking at anything similar in terms of
11:52
the production method or the materials used. So try and find
11:55
three people who are similar to you. As I said, aesthetic is irrelevant.
12:00
So if they're bright neon and you're scandi paired
12:03
back, that's absolutely fine. But we're just trying to get a sense of the
12:07
actual way that products are made and then have a look
12:11
at how they are priced. Now, big retailers have software that scans
12:14
all of their competitors and tells them what all the price comparisons are. But back
12:18
in the day, we used to have to go out to the shops and go
12:21
around with a notepad and make notes as to what all of the competitors were
12:24
doing in terms of pricing. And it wasn't about copying, it was about
12:28
understanding the reality in which your customer operates.
12:31
So that's what you're trying to do here. You're just trying to understand if you're
12:35
in the market for a pair of organic baby leggings, how much
12:39
might you pay or how much might you be able to get them from somewhere
12:42
else. So once you've done that, you
12:46
effectively work out by product type what their pricing
12:50
structure looks like, where it starts at, where it ends at, what the kind
12:53
of range is, the products that they seem to sell the most of, where
12:57
do they sit? And you get a really good sense of what's going
13:01
on. And once you've done that, you then decide your pricing
13:05
in comparison. Now, there is no need for you to match it
13:08
exactly if you don't want to, you can do, you can say, right, everyone's
13:12
selling their leggings for £28. I'm going to pitch my leggings
13:16
at that price. But also you might say, do you know what? Ours
13:19
are hand finished, ours are reversible. For example,
13:23
they're all at 28, but I think we could go at 32. Whatever you
13:26
feel is appropriate, you can do it, but
13:30
you just need to benchmark it somewhere. So you either go in at the same
13:33
parity, you go in above, which is the premium
13:37
pricing model, or you might go below, which would
13:41
be a value pricing model. In other words, everyone's at 28. I think we can
13:44
bring ours in at 24 and still make an okay margin. So we're going to
13:47
go there. Now, I don't generally recommend a value model for
13:51
small businesses because before you know it, we'll all be trying to undercut each
13:54
other and that's not good for anybody. And most small business owners are not
13:58
going to ever be able to compete on price, especially when you compare it to
14:02
big retailers. So don't try the value model unless you've
14:06
really got a compelling reason that you feel that you can come in under your
14:08
competitors. Don't do if it's just a confidence thing. If you're like, oh
14:12
well, maybe their leggings are nicer than mine, I don't think I can
14:16
charge that now. That's not okay. You want to pick your
14:19
pricing position based on your competitors, but it doesn't have to be the same as
14:23
theirs if you don't want it to be. After you've done that,
14:26
then you want to sense check with your customer. Customers. Now the
14:30
most important thing is that do not go to your customers and ask them, would
14:33
you pay 28 pounds for this pair of leggings? Because most people
14:38
are aspirational. In other words, they'd like to think that they would spend 28 pounds
14:41
on a pair of leggings or they're trying to be nice so they'd say, yes,
14:45
of course I would. But what you really want to understand is what their past
14:48
behavior has been. You want to understand, for
14:52
example, you could ask them when you've bought baby leggings and in the
14:56
past, how much have you paid for them? And get an understanding
15:00
of what they actually paid their actual real world behavior.
15:04
This gives you an anchor in real world insight into your prices.
15:08
If everyone comes back and it's a much lower than you expected, which often is
15:11
the case because ultimately most small business owners
15:15
are operating in effectively kind of a premium pricing model already.
15:19
Most people are not competing on price. Ask them how much they paid when
15:23
they bought it for a special occasion or for a gift. Because again,
15:27
most small businesses, we tend to sit in that gifting price
15:30
bracket because it's not the cheapest that you're going to get something, but
15:34
it's always the nicest. So make sure that you're getting
15:38
an insight not just into what they would pay on an everyday basis, but what
15:41
they would pay in the case of something that they were gifting. And that will
15:44
help give you some confidence around your, your pricing and
15:48
where you're sitting. Now, if you're first starting out or you don't have access
15:52
to your ideal customers, have a think about somebody. Do you know someone in the
15:55
real world who would fit your ideal customer profile? Even if they'd never bought from
15:59
you before, could you do a bit of research that way. In fact, I remember
16:02
being told once when I very first started my business, before you start your business,
16:06
you should talk to 100 potential customers and ask them what they
16:09
want and ask them about their buying habits before you even get started started. So
16:13
if you're early on in your journey, how many people can you find and how
16:16
many people can you ask about your pricing? So there you've
16:19
set yourself your pricing, you've given it a bit of a check with some real
16:23
world customer feedback, and then once you've done that, you can actually
16:27
go back and check your margins. So last week's episode was all
16:31
about profit margins. So if you want a bit of a refresher on that, then
16:34
go listen to episode 259. I'm not going to get into
16:38
margins too much now. But even though profit's really important, you always have to
16:42
start with the final retail price and then at the end of that, work out
16:45
whether or not it's making you enough profit. This is the best way to do
16:49
it because you've set your price in reality and now you're going to
16:53
check the profitability. And the question is, what do you do if you do all
16:56
of this and then all of a sudden you work out? Well, actually, I'm
17:00
not making enough profit. I really can only sell these for 25,
17:04
but it's going to cost me £18 to produce.
17:10
It's much better to know about this now than to figure it out 612
17:14
months down the line or even several years into the business. And
17:18
then I would encourage you to think about, are there any ways that you can
17:21
tweak your costs? Can you simplify production? Can you use a different material,
17:25
a different way of producing things? Can you negotiate with
17:29
your supplier? Especially, especially if they've been supplying you for a while and you've got
17:32
a good track record. Can you see if there's anything they can do on their
17:35
pricing? This is what big retailers do every single day. The number of
17:39
meetings that I was in where effectively we'd be starting with a product,
17:42
working out what the ideal price was for it, and then working backwards to get
17:46
an ideal cost price. That is something that happens all the time.
17:50
So if you're working with a supplier, they will 100% be used to having this
17:53
kind of conversation. How can we make this cheaper? How can we bring the costs
17:57
in down for me? The thing is, is you mustn't compromise on
18:01
something that is core and essential to your business. So, for example, if
18:04
we're saying, can you make it with cheaper materials? If you have a certain
18:08
fabric that you use that is absolutely your calling card, do not
18:12
change that. But is there something else that you can do? The supplier
18:15
also will be able to help you. If it's not something you're making yourself and
18:19
you're having it manufactured for you, then ask them what would it take to bring
18:23
it in at this point, this price? They may be able to help you come
18:25
up with some answers. Because often the things that cost
18:29
money in the manufacturing process, they're usually related to time.
18:33
So if you want a particular effect or a particular stitch or a particular
18:36
type of construction, but it's taking a really, really long time, then
18:40
that is usually going to be adding cost in. So if you're trying to bring
18:43
your cost down with the manufacturer, make sure that you are
18:47
asking them to run through ways that you could bring the cost down and some
18:50
of them will be acceptable. They might say, well we could try
18:53
changing the placement of this item and actually you don't really mind, but it makes
18:57
the production that much quicker. But other times they might say, well, you'd need to
19:01
switch out this for this and that's just not acceptable. So know
19:05
what your non negotiables are, but don't be afraid to have
19:08
that conversation with your supplier because they will be used to it. Big retailers do
19:11
this all the time. They say, okay, how can we make this work? And if
19:14
you're making it yourself, have a think about the supply. Same thing is, are there
19:18
any elements that you can switch out, other ways of producing
19:22
things that take less time? The other thing that I would say as well
19:25
is really importantly, you must make sure that when you're checking your
19:29
margins, if it's a handmade item, that you're factoring in your time as
19:32
well to make sure that you have that cost covered.
19:39
So once we've set our prices, then we've checked our margins, we're
19:43
happy that they are where they need to be. How do
19:46
you communicate your price to the customer? Now that might sound like an odd
19:50
question because obviously your customer could go onto your website and they can see your
19:54
price. But I think one of the most important elements of pricing is
19:57
understanding that customers don't buy based on price
20:01
alone. Customers buy based on value.
20:05
So that is effectively whether or not they
20:09
consider the item that you're selling to represent good value.
20:12
If they believe it represents good value, they will buy it. And if they don't
20:16
think it's good value, they won't buy it. This is what I call the
20:20
value triangle. The value is made up of three things. The price of a product,
20:24
the quality of the product and the desirability.
20:27
So to dive into that in a little bit more detail, all three of those
20:31
have to be aligned for something to sell. So if we take an example
20:35
of two pens, back in the day, I worked at
20:38
Paperchase and we had two pens that were best selling
20:42
for different reasons. The number one unit seller was the Bic
20:46
Biro, a black Bic Biro for £1 50. It was
20:49
great value for the customer because they knew that it wasn't super
20:54
high quality, but they knew it would write it was the right price.
20:58
And therefore it was what you'd call a commodity product
21:01
because it was all about low price and acceptable quality.
21:06
And we sold lots of those. That was our number one unit bestseller. It did
21:09
the job, it got things done and people were happy to pay
21:13
£1 50 for that. But then we also had a 65 pound fountain
21:17
pen that was one of our best sellers in terms of sales value.
21:20
Now this had desirability, it looked beautiful,
21:24
it was high quality, well made, would be long
21:27
lasting. And therefore the price of
21:31
65 pounds felt like it was good value because everything else
21:35
was aligned and they did a lot of around desirability, limited
21:38
edition colors and that kind of thing as well to really kind of trigger that.
21:42
But ultimately it was about having a beautiful pen that was well
21:46
made, that felt like that £65 represented good value.
21:50
So the word value is not synonymous with cheap. It's about,
21:54
do you think that the money that you're paying for this is worth it? If
21:58
you find that you're struggling to set your prices at the right level,
22:02
if you feel like, I know that this needs to be 60 pounds, but
22:05
I'm really struggling to get people to understand that it
22:09
should be £60 and everyone thinks it should be cheaper. The question you
22:13
have to ask yourself is, am I doing enough to
22:16
communicate the quality of this product?
22:26
Let's take another example. We've got two black bags. We've got one is
22:29
15 pounds and one is 250 pounds. And if
22:33
you just had them side by side, no explanation as to the two
22:37
bags, then yes, obviously one you could tell one would be better quality
22:41
than another. But you would have to really love
22:45
the 251 to say, right, this is definitely the one I want to go for.
22:48
But imagine that instead of just it being
22:52
£250, there was a whole story around this bag,
22:56
that it was made from leather off Cuts from the
23:00
leather industry. Therefore it was reducing waste.
23:03
The interior had a lining made out of recycled
23:07
polyester from bottles that would otherwise go into the
23:10
ocean. So recycled ocean plastics to make the
23:13
polyester for the inside. The bag itself was made
23:17
in an East London atelier by women
23:21
who had been stitching bags for high end fashion houses
23:25
for the last 40 years. And as you can see, the
23:29
storytelling element of this, the story of the production, the
23:32
story of the quality of the materials
23:36
used, the purpose behind it, that all of a sudden
23:39
starts to become a lot more interesting and a lot
23:43
more desirable and the value starts to make
23:47
sense. So the great thing about this is it makes great
23:51
content, it's great storytelling content and it can really, really help you
23:54
illustrate your customer why they need to spend that money with your brand
23:58
as opposed to picking up the 15 pound mass produced tote instead.
24:02
This is really the value triangle in action. And I would
24:06
suggest that if you do not feel that you're able to charge the
24:09
prices that you know that your products deserve, really look at the way that
24:13
you communicate that value to your customer and see if there's
24:17
ways that you can illustrate it in more depth. Can you show behind the
24:21
scenes footage? Can you show the people who are making the product? Can you show
24:24
the process? For example, Indian block printing, it's
24:29
such a labor intensive technique and it's absolutely fascinating.
24:32
If you have block printed products, are you explaining to people what that
24:36
means? Because people don't know. And it's always
24:40
useful for you to remember that you
24:43
have to explain this to your customer. You are in the weeds all the time
24:47
in your business. You know why it costs, but your customers don't until you
24:51
tell them. So if you're struggling to get the prices that you need,
24:55
make sure you're communicating it. One of my mantras is if
24:58
it's worth more, charge more. But explain why that
25:02
explanation piece is absolutely crucial and
25:05
desirability is the final piece as well. So desirability,
25:09
it's completely subjective. I've worked in lots of different businesses and worked
25:13
with hundreds of different businesses and I can tell you that their number
25:17
one bestseller is often extremely different ones to the other.
25:20
But the thing that unites all of them is that they are something
25:24
that the ideal customer really wants. It is really
25:27
tuned into the ideal customer and it's getting an emotional
25:31
response from them. So this is something
25:35
that it's hard to manufacture. Exactly. But you've got to
25:39
keep going. Got to remember that the more your product is
25:42
completely attuned to what your ideal customer wants, the easier it will be
25:46
to sell. And also it gives you what I call price elasticity.
25:50
So it's not like you can charge twice as much for something that somebody really
25:54
loves, but you want them to have an emotional response to it. You want them
25:57
to just really want this item because then they don't ask
26:00
as many questions about the price. So if you're struggling with pricing,
26:05
ask yourself, is this the best product for my ideal customer?
26:11
And also, are you doing enough to explain to the customer the
26:15
ins and outs and the why behind why something needs to be the price that
26:19
it is? If you think your prices are too low, then
26:23
why not take a minute to go back over the process that I
26:26
outlined in this episode, Reassess where you sit in the market, talk to your
26:30
customers, and then once you've done all of that and you've assessed, do you need
26:34
to change them? Do you need to tweak them? Then check your profitability. And
26:37
if you're struggling to get the prices that, that you know that your products deserve,
26:41
then make sure you use the value triangle concept to help guide
26:44
your messaging. And the other thing I would say as well is that if you
26:48
haven't checked your prices against your competitors in the last three to six months,
26:52
check them again. Because it used to be something that we could do once a
26:55
year, but in the era of rising prices all the time it
26:59
stabilized a little bit. But still you need to be double checking that the
27:03
whole market hasn't moved. And I've had this conversation with a few people where they
27:06
say, well, I can't charge more than that this for a T shirt because that's
27:09
what everyone else charges. And then we've double checked and everyone else has been putting
27:12
their prices up. So make sure that you can, hand on your heart, say that
27:16
you've got the most up to date information. And just remember that
27:19
customers don't pay for products, they pay for perceived
27:23
value. So if it's worth more, charge more. But make sure you
27:27
explain why. And if it feels really hard, then help bring somebody
27:30
objective into the process and be brave. You might be
27:34
surprised by how well your customers actually end up responding.
27:38
Thank you so much for listening. Do take a moment to follow
27:42
the podcast or subscribe whatever platform that you're on and
27:45
if you have a minute to rate and review it inside Apple Podcast that makes
27:49
all the difference. See you next week.