What’s your product or service worth?

In order to work out the correct price for your product or service, you need to take into account (amongst other things): your fixed and variable costs; your competitors prices; your objectives; your proposed positioning and finally your target market’s willingness to pay! Once you’ve mixed all these elements together, you should be within about a 20% margin of error! One final thing that many small businesses forget when setting their prices is the Perceived Value of their product. What special attributes do consumers associate with your product, what do they believe it's worth to them? This is a bit of trial and error, but with flexible pricing and ongoing monitoring, you should be able to maximise your return on investment.