This is extremely controversial and here's why. The true reason why businesses strategically encourage potential customers to "inquire" about pricing is due to the fact that any time they submit a form online, that contact immediately gets added to the mailing list and thus subscribed to the site. There are a number of reasons as to why I believe this is ineffective, unnecessary, and out of touch. Let's talk about price transparency.
– Here are 3 perspectives where market strategy marries transparency.
#1 As a business owner, it's your job to meet the needs of customers.
According to a recent statistic in July of 2023, 61% of Americans are living paycheck to paycheck.
One of the best and smartest things a business can do is accommodate and adapt to the shifting needs of customers in your demographic. Right now more than ever, I would encourage businesses to focus on the customer as an individual and use your influence in business to make their experience better by putting them first.
Americans are budgeting for food, water, and shelter. Basic needs are not being met - so you can imagine emotionally how it would feel when you are interested in a product/service, inquire online, and realize after days of waiting for a response that you can't afford the services and the social embarrassment with a total stranger that comes with that too.
#2 Not everyone is going to be able to afford your services, and that's okay.
According to Worldometer the American population is 339,996,563.
You are not going to be able to serve 339 million people and not all of them will be able to afford your services. This post is not to encourage you to decrease your pricing - but rather focus on your "organic leads."
When you display your pricing, you will receive organic inquiries from potential customers who are genuinely interested in what you offer. This is way more effective than receiving 10 inquiries and after days of communication, only having 2 of them convert to real customers due to withholding information such as pricing to practically force a customer to inquire. This is a waste of time for you as the owner and discouraging for the customer who cannot afford your services and likely won't return.
Additionally, when you focus on your organic leads, you can build stronger relationships with your customers as they are more likely to engage and interact with your brand. This increases the chances of converting the lead to a sale due to the fact that they inquired willingly knowing the details up front. This enhances customer satisfaction but also leads to positive reviews and recommendations that also lead to more organic leads.
Being a business owner means equipping your customers with dignity through products or services. In my opinion, collecting inquiries from people who can't afford the service and then continuing to email them monthly or weekly isn't dignifying to the customer.
#3 If customers can't afford your product, let them go. Allow them to have control.
It is 100% okay for a potential lead to realize your product/service is too expensive for them and move on to something more affordable within their budget. Like I stated in a statistic before, 61% of Americans live paycheck to paycheck, so the likelihood of someone coming into your industry with a budget in mind is very high.
When you transparently display your details, you are equipping your customers with the control they often feel like they don't have to make informed decisions about what they can and cannot afford. When you force customers to fill out forms to get more information, it makes it harder and harder for them to say no and stick to their original budget out of fear of social discomfort when the pricing is much higher than expected.
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Audra Leverson
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