Pricing our products took some thought….normally it was the normal markup plus freight. Yet, if we wanted to be competitive we tinkered with the price. However, it wasn’t that easy….the price had to reflect the quality of the product. We carried several products that were of very good quality….yet the price did not reflect the normal markup. The reason….to establish our business as one of exceptional values….in otherwords a very fair price.
In a recent golf magazine….there was a listing of young upcoming instructors. Their fee per hour caught my attention….anywhere from $60 to $235. Most of these instructors probably work as independent contractors….perhaps have a limited season….and may have but two or three clients in a day….and not everyday.
The question of course is: What’s a fair price? Supply and demand is a good indicator….and certainly the quality of the instruction. One instructor may ask $235/hour….the question of course is how many folks will pay that or will there be more clients at $175/hour.
Finding the right (and fair) price is often trail and error.