FeatureFriday: How to set prices & create services

READ TIME: 6 MINUTES


Success in business comes from having a great product. Being able to customize and provide the best offering is important to all business owners. Time is money and in the service industry, designing your product to accurately reflect that is key. Haircuts are your product and defining the nuances around each cut will have a positive impact on your business.

theCut gives Barbers the ability to individually setup their services and menu offering. On theCut, Barber can set their own prices and service duration. You know how long it takes you to perform your service and deserve the right to price accordingly. Once you’ve created your service menu, you can edit and delete services as you wish. Moving them around to highlight new or popular services. In this post, we’ll discuss your options when setting up your profile on theCut.

https://book.thecut.co/services

SERVICES

PRICING

Pricing is both an art and a science. There are tons of studies that discuss the various methods for determining the price of a product and its effect on customers. There are 6 different pricing strategies adopted by businesses today. Taking your daily or monthly operational costs into consideration as well as your overall investment should help define your price. It’s your job to decide which works best for you and clients.

  1. Pricing at a Premium: Business set prices higher than their competitors. Ideal for small businesses that have a unique offering. Along with providing a high-quality service, businesses should ensure marketing efforts, experience, and shop decor all support the premium price.
  2. Pricing for Market Penetration: Aims to attract customers by offering a price lower than the competition. Over time, however, the increase in awareness can drive profits and help small businesses to stand out from the crowd.
  3. Economy Pricing: Aims to attract the most price-conscious or sensitive customers. With this strategy, businesses keep costs (marketing & operational) low to keep prices low.
  4. Price Skimming: Involves setting prices high during the initial launch phases. It helps small business recoup its development costs while creating an image of quality and  exclusivity before competitors arrive in the market.
  5. Psychology Pricing: Refers to techniques that business use to encourage customers to respond on emotional levels vs logical ones. The goal of psychology pricing is to increase demand by creating an illusion of enhanced value for the consumer.
  6. Bundle Pricing: Small business sell multiple services together for lower than consumers would spend individually. Bundle pricing is effective for companies that offer complimentary services.

Ultimately, what people are willing to pay for a service/product is a reflection of the value they’ve received. Never undersell yourself, know your worth, and price accordingly.  

DURATION

With theCut you can create as many services as you need to complete your offering and with every service you can set how long each service lasts. The duration of each individual service will impact your schedule and availability for clients booking. Clients will not be able to book services outside of your defined hours. Ex. Client booking a 1 hour service for 6:30 pm. when you close at 7 pm.

DESCRIPTION

When creating services, you get to specify the title for each service as well as create a description for all that it includes. Here you can be creative in your naming and personalize your services. You can also create promotional services or discounted services for clients booking with you. Include the discount in the title and share the details within the description. Ex. $5 Tuesday cuts. Then as clients book those services, you have the choice of accepting or decline the appointment if they don’t meet specified criteria.

REARRANGING & DELETING

Once you’ve created your service menu you may want to make changes. theCut allows you to edit services on the fly and delete those that no longer apply. You can also rearrange your menu list if you want to reorder the way your services are displayed, whether that be most to least popular or most to least expensive. To rearrange your service list, press and hold the individual service until its selected, then move it up or down the list.

To delete services that are no longer available just swipe left until the trashcan is revealed. Tap the trashcan icon to completely remove the service from you menu.

CONCLUSION

theCut gives Barbers the ability customize their menu offering. Setting the price of your services is an art more than a science. There are 6 different strategies for determining prices. You can price for premium services, market penetration, or for conscious customers. Theres also price skimming, psychology pricing, and bundle pricing. Once you’ve set your price, you can then set the duration for your service. Time is money so price accordingly. You can also create promotional services to offer discounts to clients. Sometimes things change and you want to edit your services or menu. You can freely edit services, rearrange your menu list, or delete services no longer available.

https://book.thecut.co/services