Pricing is one of the toughest balancing acts business owners face. Set it too low, and you risk losing profit. Set it too high, and customers might hesitate and look for alternatives instead. That’s why careful thought and planning are essential before you assign a price tag. Getting your pricing right helps you strike a balance between keeping customers happy and ensuring your business remains sustainable.
The right price doesn’t just protect your profit either; it also keeps your cash flow steady, giving you the resources to run your daily operations smoothly. Using a reliable business banking solution like Maya Business Deposit makes this easier by helping you manage payments, track revenue, and plan for growth. With these pieces in place, you’re better equipped to set prices that meet customer expectations while protecting your business’s bottom line. To support that, here are some practical tips for setting fair and profitable prices for your products and services.
1. Know Your Costs First
Good pricing starts with knowing how much it really costs to make or deliver your product or service. Add up everything, from materials and labor to rent, utilities, and marketing, so you don’t end up underpricing. Once you know the full amount, add a fair profit margin to keep your business sustainable. This helps you avoid sudden price hikes later, which can frustrate customers and push them to look elsewhere.
Maya business solutions, like the Maya Business Manager dashboard, can make this process simpler. It lets you track and review all your online business banking transactions in one place, as well as manage supplier payments, giving you a clearer view of your expenses. With this visibility, you can calculate accurate costs and set stable prices that give customers confidence to stick with your business.
2. Understand What Customers Value
Customers don’t just look at the price tag. They also consider whether the product or service feels worth it to them. For example, if your coffee shop offers a cozy atmosphere and faster service than others, people may be willing to pay a little more.
When you understand what your customers value most, you can highlight those strengths in your pricing. This keeps you from competing on price alone. Instead of being the cheapest option, your business becomes the best value for money. That approach makes customers more loyal and less likely to leave, even if your prices are slightly higher than the competition.
3. Research Your Competition
Checking what your competitors charge gives you a useful benchmark. If most businesses in your area sell a similar product for PHP 500, it may be tough to sell yours for PHP 1,000 unless you offer something noticeably better. On the other hand, pricing far below competitors might attract customers at first, but it can leave you with very little profit to keep your business running smoothly.
The goal isn’t to copy your competitors but to position yourself wisely. Understanding the competitive landscape helps you set prices that feel fair to customers while still protecting your profit. When people see that your pricing is reasonable compared to others, they’re more likely to trust your brand and continue choosing you over the competition.
4. Consider Psychological Pricing
How you present your prices can influence how customers respond. Small tweaks, like setting a price at PHP 499 instead of PHP 500, can make a big difference in how affordable something feels. Bundling items together, such as offering a full meal set instead of separate orders, can also create the impression of better value. These strategies make your prices more attractive without actually lowering them.
Another approach is to offer tiered options like basic, standard, and premium packages. Customers like having choices and often pick the middle or higher option, which can increase sales while also meeting their expectations.
5. Keep Cash Flow in Mind
Pricing shouldn’t just cover your costs; it should also keep money moving steadily in your business. Cash flow problems can lead to delays, stock shortages, or service issues that frustrate customers and push them toward competitors. Setting prices that account for consistent cash flow gives you enough room to manage expenses and keep operations running smoothly for the people who rely on you.
It also helps to put your money in the right place. With a Maya Business Deposit account, your funds can earn 2.5% interest per year, which is higher than what most banks offer. This allows your cash reserves to grow, giving you the flexibility to maintain stable pricing and reliable service. Plus, all Maya deposits are insured by the Philippine Deposit Insurance Corporation (PDIC) up to PHP 1 million per depositor, so you can be confident your money is safe while it works harder for you. With everything accessible through one account, business banking online has never been this easy and secure.
6. Test and Adjust When Needed, but Do So Gradually
Costs rise, markets shift, and customer expectations change. That’s why it’s important to review your prices regularly and make gradual adjustments, such as small bundles or slight increases, to see how customers respond. Incremental changes are usually easier for people to accept than sudden price hikes.
If you’ve got a Maya Business Deposit account, you can first review your cash flow and revenues through your Maya Business Manager dashboard. This insight helps you test pricing adjustments more confidently, protecting your margins while keeping prices fair and reasonable for customers.
Boost Your Growth with Smart Pricing and Maya Business Deposit
Getting your pricing right takes time, but it’s worth it if you want to keep customers happy and your business profitable. Just as important is having the right tools to manage costs, keep cash flow steady, and make smarter financial decisions. Sign up for Maya Business today to access Maya’s reliable business solutions and simplify your business banking while setting your company up for growth.
Setting up a Maya Business account lets you open a Maya Business Deposit account, which you can also use as your settlement account. With an industry-leading 2.5% p.a. interest rate, a PHP 1 million deposit can earn you PHP 25,000 in interest each year. On top of that, you can send money to your partners and suppliers for free via InstaPay and PESONet, helping you save even more on everyday transactions.
Signing up also qualifies you for a no-collateral Maya Flexi Loan offer of up to PHP 2 million in just 3 months, which you can reinvest in growing your business. Simply use Maya as your primary processor for wallet and card payments. Remember, the more you use our solutions, the better your loan offer becomes.
Sign up for Maya Business today to enjoy the benefits of Maya Business solutions, giving your business the tools it needs to keep customers satisfied with both fair pricing and seamless convenience.
