Instruction
1
To calculate the optimal price for services you provide, you must determine their value. It consists of costs: variable and fixed. The minimum price is the amount at payment the client will pay for the provided services.
2
Calculate fixed costs. To do this, add up the costs of rent and utilities, equipment depreciation, labor, managerial personnel, if any. It's all the cost that you are regardless of the number of sold services.
3
Calculate the variable costs. Their size varies depending on what kind of services you provide to your customers. It supplies materials and raw materials, energy costs and fuel, salaries and accruals on it.
4
Determine the approximate volume of the services that you will be able to provide tailored to your capabilities and consumer demand. Costs divide by that number. The result will be the minimum cost of the service that you want to charge the customer not to operate at a loss.
5
Analyze the prices of its key competitors. The prices your company should not greatly exceed these rates. The cost of services your organization may be slightly more if the quality of their provision is higher. If you want to increase sales, it is wise to make your services more accessible.
Useful advice
In determining margins necessary to take into account your goals. You can have a stable income, can wish to occupy a certain market share by attracting more consumers. In a given situation the size of the margin may vary.
When pricing the services you should always have the opportunity to do a small discount for your regular or wholesale customers.
When pricing the services you should always have the opportunity to do a small discount for your regular or wholesale customers.
