The Pricing Temptation Most People Fall Into (and the Fix They Rarely Try)

If you’ve ever felt like business was slow, you’ve probably had this thought: “Maybe I should lower my prices. Then more people will buy.”

It’s the most common pricing reflex across service businesses. It’s tempting whether you’re a brand-new freelancer trying to land your first client or a small agency in a crowded market.

  • Freelancers slash prices on design projects to “get experience.”
  • Consultants offer “intro packages” that barely cover their time.
  • Agencies pitch “starter retainers” at rates that sound competitive but leave them overworked and underpaid.

The reasoning feels logical: lower the barrier, get more volume. But here’s the problem: service businesses don’t scale like retail shops. You can’t just sell more “hours” without hitting burnout. So discounts don’t lead to growth. They lead to exhaustion.

The Wrong “Solution”: Add More Stuff

Here’s the second mistake that often follows the first. Business owners realize, “I can’t lower prices forever.” So instead, they pile on extra deliverables to justify the same low rates.

  • The wedding photographer who adds a free engagement shoot.
  • The coach who throws in a bonus session “just to sweeten the deal.”
  • The marketing consultant who offers weekly reports when monthly would do.

On the surface, it feels like you’re “adding value.” In reality, you’re training clients to expect more for less, plus you’re trapped into squeezing your margins even tighter.

The Real Solution: Redesign the Offer

Here’s the shift: instead of lowering price or stuffing in extras, you redesign your pricing around value delivered rather than time spent.

That means:

  • Package for outcomes, not hours. A copywriter charges for “launch-ready sales page copy,” not “15 hours of writing.”
  • Tier your offers. A consultant has a clear entry-level package, a mid-tier with more depth, and a premium option that makes the first two look like a no-brainer.
  • Price with intention. Instead of reacting to “What will people pay?”, you set pricing that positions your business as the right fit for the clients you actually want.

Clients don’t need “more stuff.” They need confidence they’ll get the result they care about. Pricing that emphasizes outcomes does that better than a discount ever will.

A Small Step You Can Apply

This week, review your most popular service. Ask yourself:

  • Am I charging for time, or for outcomes?
  • Am I adding extras that don’t really change the client’s result?
  • If I cut 20% of the “fluff” from this package, would the client’s success still look the same?

Then, instead of discounting, try raising the clarity of what you’re selling. Make the outcome obvious. Make the result feel worth the price.

The Quiet Truth

The truth is, most businesses don’t fail because they charged too much. They fail because they trained clients to expect too much for too little.

Want to learn more?

How to handle raising your prices

How I Think About Pricing (and Why It’s Not Just About Numbers)