Fix pricing before any other growth strategy
None of the growth strategies will work well if pricing is wrong. You can increase job volume, reduce idle time and retain customers — and still not grow profit — if prices do not cover real costs.
Correct pricing starts from a single principle: the price must cover all costs and still generate margin. Not the competitor's price. Not what the customer is willing to pay before knowing the real value of the service. The price calculated from your numbers.
The three most common pricing mistakes in shops
- Pricing only parts with margin and charging labor below the real cost
- Not separating labor, parts and additional services on the work order — which blocks margin analysis per service
- Adjusting the price based on the customer's reaction instead of the operation's costs
Fixing these mistakes can increase revenue without adding a single extra job.
