How to Beat the Competition Without Lowering Your Prices w/ Chris Do | Ep 415

Many of us feel like we're in a market space where people don't value what we do, and it feels like we're commoditized. And a lot of you have been taught or have taught yourself some crazy rule in the universe where if the market gets tricky, the way you win clients is to do what? So when we lower our price, what does the other person think if they lose the business to you? They lower their price. And what do you do? Lower your price. And then before you know it, you pay the client to do the work. How long can you run a company when you pay the client to do the work? However much cash you have at the bank, and when that's done, your credit card, and then you're done done. And I'm reading this book, Implementing Value Pricing. It's written by Ronald Baker. Highly recommend you read this book if you wanna be a master at pricing. And he says in in the book, there's no such thing as commodity. You just lack imagination. You lack imagination! And he gives a couple examples that will blow your mind. So in the example he talks about like a head of lettuce or cabbage or something, which you buy at the supermarket. Right? You go in there, and basically, one head of lettuce is the same as another head of lettuce if it's organic, if it's fresh. You don't buy one that's necessarily more expensive if you can't see the difference. Right? And so you might be thinking, I can't differentiate what I do from a competitor. I'm like the head of lettuce. They just buy the cheapest one because they can't see one design firm versus the next one, marketing firm versus the next. He says, so let's apply a little imagination here. So I don't know if you've noticed, but people have started to sell hand leaped, pre washed, triple rinsed bags of lettuce. How much is that? So one head of lettuce, that's the cheapest version of it, but applying a little creativity and labor, you make it more convenient. My wife buys the bags. I buy the bags because I just grab it throw in a bowl and I can eat it. And this is going to hint at an idea in a little bit. So that bag of lettuce goes for more money than the head and if you take the head and you split up to two or three things you could sell three bags for four times as much money. And then what they do is somebody's like, you know, why do people even want lettuce in the first place? Why do people buy lettuce? Make a salad. You want a salad. So like why don't we throw on some croutons, there's a little cheese on it, and have a package of dressing And now instead of charging you 79¢ for head of lettuce we're gonna charge you …