When you base your prices on what others are charging, you enter a race to the bottom. This approach doesn't just hurt profits; it devalues the entire waste management category. Your business is more than just a number on a price tag; it's a service that brings value to your community.

You know better than anyone the effort and resources that go into running your waste removal or junk hauling business. It's not just about disposing of unwanted items; it's about offering a solution to a problem, providing convenience, and delivering exceptional customer service. Your pricing should reflect these aspects to your target audience.

Evaluate Your Services 

Take a moment to list what makes your service stand out.
Is it your speedy response time, the thoroughness of your work, or your friendly, professional staff?
These are factors your customers are willing to pay for.

Highlight Your Expertise 

As an experienced business owner, your knowledge of handling different types of waste and junk is invaluable. Emphasize this expertise in your communication with clients, but mostly share the invisible aspects of your business. The ones that others cannot offer or that others are not mentioning.

The Role of Pricing in Targeting the Right Customers

Prices play a crucial role in attracting the customer segment you desire. 

Setting prices aligned with what your target audience would pay to solve the problem it’s the first step. Defining the price, don’t forget that the price should reflect the quality and value of your service. It means that if you offer a waste collection service to shops like PRADA or Gucci, they will pay you more if you clean their bins once a week. Indeed, prices also reflect the expectations of your target audience. Think about what happens when you visit a Mercedes car dealer. They offer you a coffee and tiny Belgian chocolate seated in a Cassina sofà. The seller doesn’t talk immediately about the car, but first, he wants to put you in comfort. Indeed, he knows that you can make decisions if you are in your comfort mode. 

Avoiding the Pitfalls of Low Pricing

Solving Potential Issues: Low prices might hinder your ability to address unforeseen issues effectively. 

Good pricing lets you handle situations professionally without compromising your service or financial health.

Dealing with Undervaluing Clients: Unfortunately, low prices often attract customers who fail to appreciate the importance and complexity of your job. 

These clients may undervalue your service and be more challenging to work with.

The Wrong Competition: Engaging in a price war leads to what can be termed 'poor competition.' It's a race where the lowest price, not the best service, wins. 

This is a detrimental position for any business that takes pride in the quality of its work.

Give Support To Your Prices

High prices need great support.

That’s what I usually say to our customers.

Indeed, the most important thing is to give prices the most comprehensive demonstration of what your price includes.

Same-day pick-up?
Complete cleaning after the waste collection?

Igienization process for the entire room/apartment after the junk removal?

Don’t forget to share a step-by-step guide that gives your target audience a complete overview of the process and how it works. In that way, if there are objections, you can solve them before starting the job.

People are willing to pay what they know, not what they don’t.

For that, you should share all the information you can with them.

If your process after the collection/removal focuses on saving the largest amount of materials/items, share it with your audience.

Put it in your sales offer, landing page, or whatever you use to collect the leads' contacts. 

That’s the best way to inform them and remove the objection that the price is higher than the others.

Emphasizing the importance of setting prices based on the value of your service ensures that your business not only remains competitive but also retains its integrity and quality. 

This approach is key to building a loyal customer base and a respected waste management and junk removal brand.

Remember, in a crowded market, the businesses that stand out understand their worth and communicate it effectively.

Do you want to avoid the price war?

Book a call with us by clicking here.

All the best

Sam

Founder of M4W - Marketing For Waste