Should YOU Charge for Your Product or Service?

Ultimately this is a personal decision. But let me ask you a couple of questions:

1. Would you hire *YOU*? (If yes, what would you charge for a seminar, etc?)

2. Is your product or service helping to shape someone’s life or the way they do business?

3. Who is your ideal customer? Have you earned the right to charge them?

When I go into my local pizza place on Saturday night I know that I am NOT leaving with a free pizza. Sure, I can go in, chat with the bartender about the latest island happenings and gossip, and perhaps even get a free drink or appetizer (without spending a penny).

But, never a free pizza.

Why should your information or product be any different than that pizza?

(Note: Thanks to my friend @jonathanfields for making me think with this post, Guru Fatigue: Getting Paid Without Being The Wizard.)

9 thoughts on “Should YOU Charge for Your Product or Service?

  1. I totally think you and anyone else providing value via content, services, etc.. should charge. You will get people who realize the value and have no problem paying. You’ll get people who will throw their arms up in disgust and call you names for doing such a thing. Point is, you won’t and shouldn’t be able to please everyone. Do your thing and don’t look back.

  2. the problem is that there are tons of people out there that give information and only a handfull that sell products.

    But you are right in a sense that when you have a crowd following you you can charge for some additional stuff.

    Richard

  3. All the information we need is now out there on the web. What people will start paying for is to get LESS information. E.g. a guy like you knows his stuff, I trust you so I pay you for your time to help me solve a problem.

    Ultimately I could do it myself but my time is better spent solving some other problem in which I am an expert. Ultimately, I could do my own accounting – but I hate accounts so I pay someone to do that while I focus on the web.

  4. Ed – I look forward to seeing what projects you are coming up with!

    Richard – you make valid points. It’s trying to know ‘when’ you have enough of a following that becomes the tricky part.

    Amir – “People will start paying for less information.” Very well said! One of the ideas I have had is to create small 10-20 page value packed mini-books that tell people exactly how to do certain social media tasks for their small business. Just not sure if there is a market for that product.

  5. Hi Mark,

    You have my email address, please contact me. I might now a market for your booklet(s).

    Richard

  6. I agree, but it goes further.

    If you decide to charge, 10 to 1 you are going to start off undervaluing yourself!

    Think of it like this: You don’t ever expect a free pizza, but if a store suddenly started a crazy pizza for $0.50 (without a buy one get a good price sort of deal) all you can eat special your first thought would be “crap pizza”.

    You need to guard against the problem of perceived value and cost. This is very difficult for me as a software developer – because what is easy for me to “knock up” may be very valuable to a client. Undercharging them can look like you are belittling their “huge problem”.

    If it was easy, everyone would do it…

    D

  7. Dave – really great points! If/when I decide to create a product I am going to refer to your comment often. :-) Thanks for your input here.

  8. Great points you mentioned. We have played around with the price of our products a lot. In fact, we have decided to offer a free version of each of our products (desktop search programs) with limited features just because people love the option to have something for free, but just like you said with the pizza – it isn’t as good as something that costs more or at least the “original” price.

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