Sr Web Developer
Not the cheapest but the best..
Yes ! I accept that it is a bold statement to make but it is based on my experience wrt pricing my web/mobile app designing & development service .So if you are planning to compete on price here are few points you might like to consider
Some one can always be cheaper:
Yes you heard me right. When your only cutting edge is the price sooner or later you will loose your customer to some one who could be cheaper than you(some new guy on the block).At least in my field I have seen many of my competitors pricing their service so low that most of the time they don't make profit and hence end up giving a sub standard service.You could smile only when your pockets are full.Hence I avoided the temptation of competing on price and decided instead to focus on quality. Yes most of the clients look for cheaper option and hence I let them go to my cheaper pals.
I would like to work with clients who appreciate quality and are willing to pay for it.
If you throw peanuts you get monkeys:
Yes it may seem an arrogant statement to make, but still its the fact that customer/client should understand. Some times after client meeting if I feel that the client is genuinely interested and will be a good partner to work with in long run then I do give them the option of paying in installments.The point I am trying to make is that whenever possible I try not to loose good clients just because of price.I do understand that the money is an important factor but I don't want to work with the client for whom its the only decisive factor(there are a large number of people belonging to this category).
Business is all about relation and people:
I can't emphasize this point enough. Yes there are some other factors that are crucial for business but business starts when two or more people come together and make an exchange of service/products. So people are the foundation of your business. These people may be your clients or employees. Another way to look at this is people will be willing to pay more if they trust you and share a rapport while working with you.Always provide your clients right information even if it means being at disadvantage. Try to be their trusted consultant. Just like any other relation, it takes time and effort to build and maintain a good business relation.
I prefer low volume high margin clients:
I will elaborate. I am in a service industry so for me "time" is the commodity that I trade. Now this "time" may be mine or that of my employee's. So for me time is limited and I would always prefer sharing it with quality clients who are ready to pay decent amount for the labor that goes into the development and maintenance. However I do agree that when the business is dry we do take low margin work but still we try our best to deliver the same quality to them .
I would like to conclude by saying that "by competing on price you will never be able to dominate in service sector. People don't look for cheap doctors and lawyers but they look for good doctors and lawyers."
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