Should I charge less with less overheads?

[clareabella]

Hi, I've been in business now for over 6 years, I have a Log Cabin built in the garden where I do all my treatments so my overheads are low compared to a salon. I've kept my prices low to be competetive, not really put them up since I started. I sometimes feel that because my prices are lower that new clients may think the treatment might not be as good. I want to put my prices up but not sure by how much? And should I put them at similar price to other salons in the area even though my overheads are low?

Any advice would be helpful.....thanks xx

 

[kylieb]

Charge according to how much you want to earn per hour. Clients wont think about your overheads. I dont see why you have to charge less because you are working from home. You are still providing a service and have trained hard like the rest of them.
xxx

 

[Redchick]

I think you should charge the same as the salons.

Even though the salons overheads are higher than yours, they have more space so they can employ staff and therefore earn more.

It's your choice to keep your overheads low, so let it benefit you.

If you're happy earning less than the salon prices, by charging salon prices you can run promos, money off for referring client schemes etc without feeling like you're out of pocket.

Even though your overheads are low, theoretically because you're not in a salon / on a high street you'll have to spend more time and money on advertising.

Different prices attract different clientell.

Good luck x

 

[clareabella]

Thanks for your replies, there are a few good points that I had not considered before so wont feel as guilty now about putting the prices up.....thanks..