How to Price Your Products & Services

pricing-your-products

The number one mistake entrepreneurs make with their products and services is pricing too low. In my experience, I have only ever seen a handful of businesses that overpriced their products. The trend I see time and time again in the Muslim small business world is undervaluing products and services.

Let’s stop doing this!

The price of your product is a signal to the customer. It signals the quality of the product, how desirable it is, and overall, what value the customer will place on it.

Here is a basic list of things you must take into consideration when pricing your product:

  • cost of materials
  • cost of labour (yes, even if you are the maker)
  • your desired profit

Watch my video below on how to price your products and services. I’ve also answered questions from viewers and included a case study that we complete together.

Enjoy!

 

Salam Sudduf - Muslim Mom Blogger of Triplets

1 Comment on How to Price Your Products & Services

  1. Amira
    October 31, 2018 at 3:38 PM (3 weeks ago)

    What is also frustrating is this mentality of I need to price my products below the competition. For example, brands who sell similar items like hijabs end up having a pricing war trying to beat out the other brands price. This is damaging, especially to local businesses in surrounding areas. Their reasoning is I might not make much on those items but it’s fine because my other products have a better mark up and make up for that lose. This is unbelievable to me. And I don’t mean over pricing and taking advantage of customers of course not, but there’s a certain threshold we need to set to be able to account for the expenses and costs of products. Its hard when customers say well this brand has something similar for half the price when that’s not something I can afford to do.

    Reply

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