How to set Competitive Prices as a Service Provider

Congratulations! You’ve finally decided to sign up as a service provider on Bookings Africa. The next question on your mind is, “How do I get clients on Bookings Africa?”.

First, you must understand that an attractive profile is one of the determining factors that will set you apart. Therefore, it is imperative that you set up an outstanding profile and then go ahead to set your availability and prices.

Let’s talk about pricing a little. African local markets are known for one thing: haggling. Everyone who shops in any local market always haggles. Typically, the buyer has in mind a product he wants to buy and then goes on to find a seller that suits his budget, preference, and perception. 

At Bookings Africa, we allow our users have that same marketplace feel: Search, Compare, Book. So how do you become the choice service provider amongst many others?

Guide User’s Perception 

You never get a second chance to make a first impression. In setting up your profile, how you describe your service is key. Most users want to spend as less time as possible on the platform when choosing a service provider. Help them make that process faster by guiding their perception of you.

To win a client over, think like one. Ask yourself these questions:

• Am I impressed by my profile?
• Does my profile make a good first impression?
• Will I book me?

If a haggard-looking salesman and a finely-dressed salesman approached you to sell you a book: HOW TO BE RICH, who would you rather buy from?

Perception is how something or someone is understood or regarded. It is true that you might know your onions and that you know your work well but if your packaging looks mediocre, no one will patronize your service. 

Always put your best foot forward. Fill up the video and picture segments in your profile with mouth-watering proofs of your work that leave your potential clients thirsty for your services. 

Conduct A Market Research

No one starts off building a house without considering the size of his pocket. That’s the same way no service provider should kick off their freelance career without first conducting market research. You should have an idea of what users look out for when considering booking services in your category. 

What amount is too high? Which is just right? 

Conducting market research saves you the stress of guessing or adjusting your prices now and then. 

Hers’s a quick way to conduct market research:

1. Ask your friends, family, and acquaintances how much they would be willing to pay for the service you are offering.
2. Create a questionnaire that will reach a wide range of audiences, asking them their pricing preferences for the services you offer. 
3. Use the internet to your advantage and do deep research.
4. Find out how much your competitors charge.

It is important to remember that your value matters in the decision process. Do not undercharge just to please a market you have no interest in serving and do not overcharge when you know you’ll underdeliver.

This takes us back to perception. How you want to be perceived determines your pricing strategy. When you think of Toyota, you think of affordability and durability. When you think of Ferrari, you think luxury. Depending on how you want to be perceived, conduct research in that line.  

If you want to be an affordable brand, research the unique selling points of an affordable service provider on Bookings Africa. If you only offer premium services, ensure that your target audience also book freelancers. 

The more informed you are, the more informed decisions you make and ultimately the more competitive your pricing. 

Pricing Strategy

Setting competitive prices is a strategic move businesses use. Freelancers can also adopt these strategies to their advantage.

1. Sell your services in a bundle: Let’s assume Dave signed up as a Videographer on the Bookings Africa Platform. Dave can add as many services as he offers under the profession: Videographer. That means he can decide to sell his services in bundles.

His services can include:

• Video Shoot only (N35,000/Physical)
• Editing Only (N30,000/Physical)
• Video Shoot and Editing only (N50,000/Physical)
• Video Script Writing only (20,000/Virtual)
• Scripting, Shooting, and Editing (70,000/Physical)

In actuality, Dave offers three major services under the Videographer profession but he has also created two extra bundle services. When potential clients know that they can save money booking a bundled service, they will most likely book. 

Coca-Cola uses a similar strategy. Customers always go for an offer that saves them money. 

This pricing strategy is highly effective and can also work for newbie freelancers on the Bookings Africa platform.

2. Another pricing strategy is to gradually increase your pricing as your clientele increases. The strategy here is to start at a lower price than you would usually charge and then grow your client base on that fixed price.  After a while, you can gradually increase your rates. 

This goal is to ensure that all your booked clients rate your services and leave a review on your page. This enforces your credibility and professionalism as a freelancer. 

Setting your availability

Once your profile and pricing are sorted, the next thing will be to choose your available working hours. You want to choose days that work for you. 

Simple techniques for determining your availability include:

• If you work a 9-5 alongside your freelance hustle, you might set your available hours for weekends. 
• Leave a day open for all Bookings Africa gigs. For instance, depending on the type of services a hairstylist with a physical store offers, he/she shouldn’t fix any client’s books on Wednesdays. Wednesdays should be reserved for potential gigs from Bookings Africa. 
• Work only when you can excellently deliver on the job. 

In summary, pricing and availability are two variables that must be set with precaution and honesty. Freelancers can grow their careers in no time. When the price and time are right, you are sure to get bookings.