Should Your New Business Give Discounts To Attract New Clients?

“I need a strong portfolio to attract clients But I need clients to build a strong portfolio.”

Many business owners face this challenge. And some begin to wonder: “Should I deep-discount my services to get those first clients?”

Maybe.

Some profitable service professionals have fond memories of charging low prices when they still checked off the “new business” box at networking events. For example:

An executive coach told me, “I started my business ten years ago with fifty-dollar resumes. Now I charge $200-$250 an hour and get more business than I can handle.”

A web developer built her reputation through a discount job site, then began working directly with clients. Now she charges a five thousand dollar minimum to design websites.

Meanwhile other service professionals charge bargain basement prices and never seem to get to the main floor.

I encourage my clients to consider 5 questions.

(1) What is the range of fees for your service in your market?

Some markets have a “going rate.” Clients expect to pay the rate. Charging well below the market price will be viewed as a sign of desperation.

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