Does adding more “value” to your services or products automatically equate to higher paying clientele? It appears to be a trend that by adding “value” then you can automatically charge more. How do you define value?
Does value mean adding more labor to a service? Does value mean adding more features to a product? I am concerned that if we perceive adding value as adding something tangible then we are reducing our profit margins even if it means higher paying clientele. That defeats the purpose of wanting higher payer clientele. Typically businesses want higher paying clientele because it means greater profit margins; earn more for less work.
Or does value come with attention to detail, customer service, and our hard work? Which then over time as consumers and our clients recognize the quality of our work and brand we earn the right to charge more. Then because of our hard work we are more efficient thus working smarter so we can earn more with less effort.
*Espresso Series – Short daily opinions and thoughts about business from our founder.