The Only Thing That Matters In Business (and Relationships)

Warren Buffet says so.

Relationships are all about giving value in order to build trust.

It’s true in parenting.

It’s true in marriage.

It’s also true in business.

Everyone has an “audience”, even if it’s just friends and family, or a trickle of customer referrals. And your audience knows you, loves you, and trusts you then you might be able to charge what you think you’re worth.

Maybe.

But you can definitely charge what they think you’re worth. Because setting prices is all about expectations and value.

If the perceived value that the shopper is expecting from you meets or exceeds the price of the product or service, then they will consider purchasing it. Simple as that.

In the words of Warren Buffet–one of the most successful investors of all time– “Price is what you pay. Value is what you get.

Have a business? Here’s how to raise prices

Path 1: Raise Prices For New Clients Only

If you have a service, you can raise prices right now for new clients.

New clients won’t know–and don’t need to know–what rates your existing clients are paying. You can always keep a discount in your back pocket if you feel like you’re going to lose a sale over it. It’s a lot easier to give a discount when your prices have already raised!

Path 2: Raise Prices On Everything, All At Once

If you have a product, then you can raise your prices right now. Just declare it so.

It may be quite a chore if you have tons of product variations and a Point Of Sale (POS) system that you run everything through, so you may need to dedicate some serious time to the project, but think about what a difference it will make when it’s done.

Before you set pricing, ask yourself: Am I providing more value than I am charging for?

Undercharge, overdeliver.

Kalshi: Join the market for real-world outcomes. Trade on what you already follow—economics, politics, and more. No house, peer-to-peer trading, and cash out anytime. Start with a free $10 here. Put $10 to Work.