Charging what you're worth starts with believing your work has value.
Many small business owners tend to approach pricing in a familiar way: they glance at what their competitors are charging, choose a figure somewhere in the middle (or maybe a bit lower to play it safe), and then cross their fingers.
It feels logical. It feels safe.
It’s also probably costing you thousands of dollars a year.
This guide will walk you through how to think about pricing differently—not as a race to the bottom, but as a tool that shapes who you attract, how much you work, and whether you actually enjoy running your business.
You’re not “just” a stylist/artist/contractor/therapist. You’re a skilled professional running a business. Price like one.
Let’s cut to the chase: low prices don’t attract more clients. They attract different clients.
When your prices are noticeably lower than competitors’, potential clients don’t think “what a great deal!”. They question the value you provide.
It sounds harsh, but it’s human nature. We associate price with quality. A $15 haircut and a $75 haircut create completely different expectations before anyone even sits in the chair.
And the clients who are attracted to rock-bottom rates? They tend to be:
Meanwhile, the clients you actually want—the ones who show up on time, respect your expertise, rebook without being asked, and refer their friends—are choosing your competitor who charges more.
Why? Because they trust that higher prices mean higher quality. And they’re willing to pay for it.
Here’s the fear that keeps most people undercharging: “If I raise my prices, I’ll lose clients.”
And yes, you might. Some people will decide you’re too expensive now.
But here’s what actually happens in practice: You don’t lose clients. You trade them.
You trade the price-sensitive clients who were always one discount away from leaving for clients who value quality and are happy to pay for it.
You trade the clients who no-show and cancel last minute for clients who respect your time.
You trade volume for margin—fewer appointments, but more money per appointment, less stress, and more energy for the clients you do see.
A tattoo artist who raises their hourly rate from $100 to $150 might book 20% fewer appointments. But they’re making more money overall, working fewer hours, and attracting clients who are serious about the work—not bargain hunters who’ll haggle over every detail.
The math often works out better than you expect.
Not sure if your prices are too low? Here are some clear signals:
If you can’t fit new clients in for a month, the market is telling you something: demand exceeds supply at your current rate. That’s the definition of underpricing.
Constant haggling, last-minute cancellations, unrealistic expectations, complaints about things that aren’t your fault—these behaviors cluster around low prices. Raise your rates and watch these clients disappear.
If you’re mentally calculating how little you’re making per hour while you work, that’s a sign. You should feel fairly compensated, not taken advantage of.
Your rent went up. Supplies cost more. Your skills have improved. If your prices haven’t moved, you’ve effectively given yourself a pay cut.
Do some honest research. If people doing comparable work charge 20-30% more than you, you’re leaving money on the table.
Pricing isn’t just about covering costs or matching competitors. It’s about positioning yourself in the market and attracting the right clients.
Here’s a simple framework:
Most people dramatically underestimate what it actually costs to deliver their service. Include:
If your total cost per appointment is $40, and you’re charging $50, you’re making $10/hour before taxes. That’s not a business—that’s an expensive hobby.
Don’t just look at the cheapest competitors. Map out the full range:
| Tier | Price Range | Who’s Here |
|---|---|---|
| Budget | Lowest 20% | Newcomers, high-volume shops, people competing on price |
| Mid-range | Middle 40% | Most established businesses |
| Premium | Top 40% | Experienced pros, specialists, strong reputations |
Where do you want to be? Your skills, experience, and the clients you want to attract should determine your tier—not fear of being “too expensive.”
You should charge more if you:
You’re not charging for your time. You’re charging for your expertise, your years of practice, and your ability to deliver results that less experienced people can’t.
Pricing isn’t permanent. Try raising your rates 10-15% and see what happens.
If bookings stay strong, you found room to grow. If they drop significantly, you can adjust. But most people are surprised—the feared exodus of clients rarely materializes.
Decided you need to charge more? Here’s how to do it without damaging relationships:
Don’t surprise people at checkout. Let existing clients know 2-4 weeks before the increase takes effect.
Some business owners keep existing clients at old rates for a few months or offer them a smaller increase. This rewards loyalty and softens the transition.
You don’t need to apologize or over-explain. A simple, confident announcement works best.
Good times to raise prices:
Avoid raising prices during slow seasons or right after a service issue.
Here’s exactly what to say in awkward pricing situations:
Email/text to existing clients:
“Hi [Name]! I wanted to let you know that starting [date], my prices will be increasing slightly. [Service] will be [new price]. I’ve loved working with you and hope to see you again soon. Let me know if you have any questions!”
In person if asked why:
“My costs have gone up over the past year, and I want to make sure I can keep providing the quality you’re used to. I really appreciate your understanding.”
“I totally understand. My prices reflect [X years of experience / specialized training / premium products I use]. I find that clients who invest in quality are happier with their results. But I’m happy to recommend some other options if that would help.”
Don’t apologize. Don’t immediately offer a discount. State your value calmly and let them decide.
“I appreciate you asking, but I keep my pricing consistent for all clients. I’ve found that allows me to focus on doing my best work rather than negotiating. I hope you understand!”
Or if you want to offer something:
“I don’t discount my services, but I do offer [package deal / referral credit / loyalty program]. Would any of those work for you?”
“I really value you as a client, and I hope we can keep working together. I haven’t raised prices in [X time], and with costs increasing, I need to make this adjustment to keep the business sustainable. I hope you understand.”
If they leave, they might not be a good fit for your business anymore. And you’ve now made room for a client who values you at your new rate.
Here’s a counterintuitive truth: being fully booked isn’t always a good thing.
Being fully booked at low prices is worse than being 70% booked at higher prices.
At 70% capacity with higher rates, you:
The goal isn’t maximum appointments. It’s maximum sustainable income with a life you actually enjoy.
If the thought of charging more makes you anxious, you’re not alone. Here’s how to work through it:
Start small. Raise prices 10% instead of 25%. See how it feels. You can always increase again later.
Raise prices only for new clients first. Keep existing clients at current rates while you test the market with new bookings.
Track the results. After 2-3 months, compare your revenue, client quality, and stress levels. Let the data guide you.
Remember: clients want you to stay in business. If you burn out or close up shop because you weren’t making enough, everyone loses. Sustainable pricing benefits everyone.
Talk to other business owners. You’ll quickly learn that almost everyone wishes they’d raised prices sooner.
Pricing is one of the most powerful tools you have to shape your business. It determines:
Charging too little doesn’t make you competitive. It makes you stressed, undervalued, and a magnet for the wrong clients.
You’re not doing anyone a favor by undercharging—least of all yourself.
Start here: Pick one service and raise the price 10-15%. Give your existing clients notice, update your booking info, and see what happens. Most people are surprised how smoothly it goes—and how much better it feels to be paid what they’re worth.
One reason business owners underprice is fear—fear of empty slots, fear of slow weeks, fear of clients choosing someone else.
But here’s what actually fills your calendar with confidence: knowing your clients will show up.
When people actually appear for their appointments (because they got a reminder), you stop feeling desperate to overbook “just in case.” Fewer no-shows means more trust in your schedule—and more confidence to charge what you’re worth.
GoReminders automatically texts your clients before appointments, so they actually show up. Less chasing, fewer empty slots, more peace of mind.
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