Starting a business, going about a rebrand, or simply updating your website to reflect new products or services can seem like a lot of hard work. One of the most pressing questions that people face when dealing with their website is this – should you state your prices?
Talking about money generally can be a pretty uncomfortable topic for many, and the temptation is to not bring your pricing structure to the forefront. But what are the downsides of this approach? And why might it be better to be fully transparent about your prices? Read on to find out more.
Why might you choose to not show your prices?
Some people believe it is bad business sense to show your prices upfront on your website. Depending on what you are charging for, many think it could repel potential customers, and that it means you can’t be flexible with your pricing structure.
This could come from a lack of self-belief. In essence, people believe they may be charging too much for the goods or service they provide, that they aren’t “worth” the money they need to make to break even and make a profit. However, there are upsides to showing your prices – as long as you know you’re charging the right amount.
Advantages of Showing Your Prices
There are many advantages to showing your prices. It means that you can avoid having a conversation with customers about their budget versus your price. If you have slim margins and cannot afford to give discounts or reductions, a clear pricing structure will lessen the chances of this cropping up.
It also helps to make the customer journey smoother and more streamlined, as well as your experience as a business owner. If your customers have to pause to ask you for prices, you also have to pause to have a full discussion with them about this. If you don’t have the time for this, or a dedicated staff member on hand, this could really eat into your day, and of course your profit margin.
You will eliminate bargain shoppers by being upfront with your pricing structure, so the customers who come to you will actually already know they can afford what you’re offering, and any discounts/reductions will be within the scope of what you can afford to give.
Perhaps the best thing about pricing transparency is that it shows you are confident in what you are offering and you know your own worth. This confidence speaks volumes to customers!
Disadvantages of Showing Your Prices
The truth is that you may repel some customers – if you have higher prices than some other businesses offering similar goods and/or services, bargain shoppers may go elsewhere.
Similarly, if you feel insecure about what you are offering and don’t believe it to be worthy of the price you are asking, you can temporarily mask this. However, customers will inevitably ask you, so the best thing to do is to make sure you are absolutely confident in what you are offering.
You may worry that competitors will be able to see your pricing structure too easily and will undercut you. It is important to remember that competitors will always find a way to do this, whether or not you show your prices openly.
Is Showing Your Pricing The Right Choice?
If you feel confident about your pricing structure, you should have no problem listing your prices. This can reflect very well on your business overall, showing honesty and integrity, as well as healthy confidence. Valuable customers who are genuinely interested will still want to reach out, and it removes a barrier between customer interest and customer purchasing – always a good thing!
Want To Read More?
Want to read more about why showing your prices could be massively beneficial for your business? We highly recommend They Ask You Answer by Marcus Sheridan. Amongst other ideas, he explains why showing your prices could not only be beneficial to your business but catapult your revenue like never before.
Have you got questions about pricing or are you considering whether listing your prices is a good idea? Why not drop us an email? We’ll be happy to help.
Email us at sayhello@woodvilleaccountancy.co.uk