Pricing isn't just about numbers; it's about perception. 

According to research by Dr. Dan Ariely, Professor of Psychology and Behavioural Economics at Duke University, 

"Price is never just a number - it's a complex psychological construct that deeply influences how consumers perceive value" 

(Ariely, "Predictably Irrational," 2008).

Get your pricing strategy right, and clients will see your offer as the obvious choice. 

Get it wrong, and even the best service can feel overpriced. Here’s how to position your pricing so clients say "yes" without hesitation.

How to Position Your Pricing for an Easy "Yes"

If your pricing feels random, clients hesitate. 

The key is anchoring - giving them a frame of reference that makes your price feel reasonable.

Implementation Steps for Effective Price Anchoring

1. Identify your anchor price point

• For premium services: Create a high-tier option 30-50% above your target price
• For products: Show the original price crossed out next to the sale price
• For subscriptions: Display annual pricing first, then monthly options

2. Present the anchor before target price

• Show highest-priced option first in your sequence
• In consultations, discuss comprehensive solutions before introducing the recommended package
• For proposals, include premium option on first page, then later show the recommended option

3. Strengthen the anchor with specific value metrics

• Itemise what's included with specific values attached
• Use specific numbers where possible: "24/7 support (£X value)"
• Create anchors using industry comparisons: "Traditional agencies charge £X" 

When you introduce a higher-priced option first, the next one feels more affordable by comparison.

Framing matters too. Saying "Only £997" feels lighter than "£997 per month". 

Emphasising the value over the cost makes a difference. Instead of "this costs £997," try "you'll get X, Y, and Z for just £997."

Make your pricing feel like a logical investment rather than an expense, and objections fade.

Why Tiered Pricing Works Better Than Flat Rates

A single price forces a yes-or-no decision. Tiered pricing gives clients options, making them feel more in control.

How This Applies to Different Businesses

For Service Providers (e.g., consultants, agencies)

• Basic tier: Limited scope, fixed deliverables (e.g., 5 blog posts/month, 40 hours consulting)
• Mid tier: Expanded deliverables with priority support (most popular)
• Premium tier: Unlimited access, faster turnaround, strategic oversight

For SaaS Products

• Free/Basic tier: Limited features or usage caps (acquisition-focused)
• Professional tier: Full feature set for typical business needs (revenue driver)
• Enterprise tier: Advanced security, dedicated support, custom integrations (maximum value)

For Physical Product

• Good: Entry-level version with core functionality
• Better: Enhanced features with better materials/components (positioned for highest sales)
• Best: Premium version with all features and extended warranty

Psychologically, most people choose the middle option because it feels like the best balance of value and affordability. 

The highest tier also makes the middle one seem more reasonable, reinforcing the idea that they’re getting a deal.

Flat-rate pricing limits flexibility. A tiered structure lets you serve different client needs while increasing your overall revenue.

How to Raise Your Rates Without Losing Clients

Worried about raising prices? 

It’s not about the number - it’s about the way you communicate the change. 

Clients will accept a higher price if they see a clear increase in value.

Instead of just announcing a price increase, show them how your service has improved:

• More support, better results, added bonuses.
• Testimonials showing the impact of your work.
• A limited-time "lock in your current rate" offer to encourage action.

Clients don't leave because of price hikes - they leave when they don't see the value. Sell the transformation, not just the service, and they'll stay.

Case Study: Oat Studio Brand Strategists

When Oat Studio increased their prices by 30%, they approached it strategically:

• Instead of simply announcing the increase, they created a FREE branding & strategy guide
• They documented expanded deliverables, increased their expertise, and improved outcomes
• They offered a complimentary strategy session with their pricing transition

Result: 92% client retention despite the significant increase, compared to industry average retention of 71% during price increases (according to Agency Management Institute, 2022)

The Power of "Price Justification"

Price resistance isn’t about affordability - it’s about perceived worth. If a client thinks your price is too high, they don’t see enough value.

Justify your price by breaking it down:

• Compare it to alternatives: "Hiring an in-house team would cost £60,000+ per year, but we deliver the same results for £10,000."
• Show return on investment: "This strategy added £250K to our client’s revenue last year."
• Use cost-per-day comparisons: "For just £3 per day, you get access to X, Y, and Z."

The moment your price feels like an investment rather than an expense, objections disappear.

Ending Price Objections with a "Decoy Effect"

Ever noticed how coffee shops price their drinks? 

A small might be £2.50, a medium £3.50, and a large £3.75. 

That makes the large feel like a steal, right?

That’s the decoy effect in action. 

The middle option exists to make the high-end one feel like the obvious choice.

You can use this in your pricing by introducing a "decoy" option that makes your preferred package the best choice. 

Clients naturally gravitate to the one that feels like the best deal, even if it’s not the cheapest.

Should You Show Pricing on Your Website?

Hiding your prices can feel strategic, but it often backfires. 

Clients want transparency. If they can’t find your pricing, they assume it’s too high.

Showing pricing works best when you:

• Frame it with value (explain what they get, not just the cost).
• Use ranges if custom pricing is necessary.
• Use "Starting from" to provide an idea of the minimum pricing
• Offer a "next step" (e.g., "Book a call to see which option fits you best").

Pricing transparency builds trust. If you need a conversation to justify your pricing, it might be time to adjust your messaging.

Ready to Make Your Pricing Work for You?

Pricing is psychology, not just maths.

When done right, it removes hesitation, increases conversions, and makes your offer feel like the obvious choice.

Want to position your pricing for growth? Start today.

Important Note: The strategies in this article are based on general pricing principles and should be adapted to your specific business context. Results may vary based on industry, market conditions, customer demographics, and other factors. For businesses with complex pricing needs, consider consulting with a financial advisor or pricing specialist who can provide personalised guidance for your situation.

Last Updated: March 1, 2025

Kase Dean is a Business Growth Consultant and Strategic Marketing Expert with over 14 years of experience helping service-based business owners, consultants, and agencies scale their businesses sustainably. 

As the founder of ASN Startup™, he provides structured growth systems that help entrepreneurs move beyond unpredictable revenue, step into leadership, and build scalable, profitable businesses.

Kase specialises in marketing strategy, pricing and revenue models, sales systems, and leadership development, empowering business owners to create predictable growth without burnout. 

His expertise has helped countless professionals streamline their marketing, automate client acquisition, and position themselves as industry leaders.

When he’s not working with clients, Kase shares insightful strategies on business growth, marketing automation, and leadership through his writing, workshops, and coaching programs.

Want to work with Kase? Book a Free Business Growth Audit to get expert guidance on scaling your business with clarity and confidence.

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