wundervisuals/Getty ImagesWhen she was first starting out, she hadn't set a price — and said on live TV that she would work with any budget. That was, in her words, a "major fail."
But there I was, on live TV, getting asked for the first time how much I charged for this service. By that point, I had a website built and packages created, but my pricing was a big question mark. I was asking potential customers what their budget was and how much they would pay for this service, one that didn't exist before my company created it. So on TV, I scratched my head, let out a few "ums" and said that we don't have a standard price and work with any budget.
I started asking over 20 brides how much they would pay for the first of its kind service I created. I explained how many hours of work they'd get and the details of the package and then asked what they thought was a fair price. The average that they gave was where I decided to start my pricing offerings."You simply ask 10-20 potential customers what they would pay for"X" . You then take whatever answer they give you and enter it into a spreadsheet," said Salamunovic.
"A retail sale must cover more than just production costs. For example, what is your customer acquisition cost ? If you haven't factored in marketing and sales costs, your shelf price will not support your company's profit margin," said Kelly.You can charge people whatever you want for a product or service — but that doesn't mean they will buy it.
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