Can You Charge To Little??

The threads about what we charge as professional readers reminds me of a question I had. Is it possible, in your opinion, to charge to little? Do you think sitters have a preconcieved idea of how good you are based on how much you charge? For example, if you charge a lot you must be very good...

It's not the dollar amount

It's not the dollar amount you charge that is important. It's the skill and care you take in delivering a helpful reading, and it's the concern and listening that you provide the querent. If you listen, if you care, if you can read the cards reasonably well, if you try to help by relating carefully the reading to the question then your reputation will grow.

As your reputation grows so will your number of new and repeat clients. The time you have and the clients you have will set your charges for you. I always say, who cares about the short term? Its getting in the game and playing as well as you can that counts. Everything else will take care of itself. Dave

There is such a thing as perceived value so, yes, I do think it's possible to charge too little. I have known several cases where a good complementary practitioner with a large list of patients has increased his or her charges to try to make the list smaller - and has attracted more patients as a result. People do tend to think that, within certain limits, if it's more expensive (whatever "it" may be) then it must be better. (Of course, it's got to be good in the first place!)

In addition, what is your time worth? If you were working in a shop, for example, you would want to earn a decent wage for the time you were putting in. Why should you work for a pittance when you are offering your clients a valuable service? I'm not advocating being greedy, but if you're a professional you deserve to be paid as such.

I was also thinking about this question recently but for a different reason. I don't remember when or where but someone was complaining about other readers charging too little and undercutting them. Is that why there's been so much discussion about average rates?

No, I don't think it's possible to charge to little. Yes, maybe some (some) people do associate price with talent. But once they have an excellent reading for only $5 (or whatever) they will be pleased with what a great deal they got and maybe wish that they hadn't spent $200 (or whatever) on previous readings. I had a good reading years ago for only $5 (she could have charged more), and I had a bad reading for $10 (she had no business reading). Starbucks charges a lot for coffee that often tastes burnt to me.

The only issue I see is with raising rates. If you start out charging $5 and then decide you're worth more you can't jump up to $50 and expect your existing clients to live with it. I agree that there's a lot more to consider when setting rates than just, "what is everybody else charging?"

I am also notoriously frugal (and broke) so I would never buy a reading for what most of us (including myself) charge.

Peace,
April

Many people will disagree with me, I'm sure, but I'd rather charge $10 and get paid for 100 readings than charge $50 and get paid for one or two. Think about it. What are people looking for? They're looking for decent prices they can afford, and often they're also looking for a bargain. If you set your rates so high that very few people can afford you, that doesn't make them think you're so good---just that they don't want to risk spending that much money on a "pig in a poke" so to speak. If you price yourself at $10, then they're going to try you, and if you're good, then they're going to not only come back but will tell their friends about you, too. When you get so much in demand that you can't handle all the customers who seek you out, then raise your prices if you want to.

I'm not talking about those of you who feel you can justify charging $50 and upward for readings because your clientele is so great that the market (your market) will bear that. I'm talking about most of us who are just starting out and don't have a large clientele yet but who want to build one. If your own client base will bring you $50 clients and better in abundance, my hat is off to you, but mine won't and I make a lot more money keeping my prices within the range of the average person.

I'm not sure that comparing what we as individuals charge makes good sense. You have to take into consideration where you are located .For instance, living in Miami, $10 seems ridiculous -you can spend $10 on gas in one day- but if you are located in a suburban or less expensive area you can get by with $10 a shot. Also, what is the demand for readings in your area like? Are there tarot readers in your area? Are you provding a service that cannot be gotten close by?

Someone once said the secret is to slightly undercut the competition -free market economy- but it is important not to undercut yourself while you're at it. I looked up tarot readers in this area. I found 2: one involves a "sweat lodge" type scenario and charges $75 for "usually" a 2 hour reading, and the other charged $250 for the same amount of time. Boith of these were 45 miles north f where I am. The demand is great, and I am slightly undercutting the competition, both by being a local and also by charging a flat rate for readings: $25 per half hour.

Granted, the cost of living in this area is one of the highest in the country (median cost for a 2-2 is around $250,000 outside city limits 20 miles!), but even if it wasn't so I high I refuse to sell myself short.

One more thing and I'll shut up. If you offer readings for too low a price (adding to the "charge more and people will think you're better" idea) the tendency will be for people to take advantage of you good nature. It has been my professional experience as a public employee that when you go above and beyond what you are expected (i.e., charging much less) then people end up resenting it. People by nature understand and expect the status quo, and distrust the unusual.

One economic rule of thumb for anyone providing a service is that if you are completely booked up for next week's appointments you are probably not charging enough.

Uk

Well another way to look at why some people might not charge as much as somebody who's been doing this for 20 - 30 years is maybe the money is not that important to them, but just knowing that your readings are given you more satisfaction then just being paid alot of money for having a skill to read Tarot.

Someone in my local Town was looking for a reader eventually came to me, i asked the question why did you come to me, she replied because your cheap and very good at the same time.

Although I do not read professionally, this thread caught my eye because I am a Master's student in business.

Rule of thumb: charge what the market will bear. Adjust to economic conditions such as competition or changes in compensation due to large industries moving in or out. Slight changes will not cause defection, large swings no matter how justified will cause an affront within the market.

So if you want to increase your prices, you will have to mete out the increases over a period of time where customers might reasonably absorb the increase through increases in compensation such as yearly raises. If you time it right you can raise your rates 50% in a year, if the market will bear it.

MTC
Love
Crystelle

kilts_knave said:

One more thing and I'll shut up. If you offer readings for too low a price (adding to the "charge more and people will think you're better" idea) the tendency will be for people to take advantage of you good nature. It has been my professional experience as a public employee that when you go above and beyond what you are expected (i.e., charging much less) then people end up resenting it. People by nature understand and expect the status quo, and distrust the unusual.

Click to expand...

This is pretty much what i'm talking about. And Netzach's comment about percieved value. I personally have noticed a strange tone in peoples voices when i tell them how much I charge. ($20AU for a general 'fortune' $30AU for answers to questions). My existing clients know what they get for that and tell me they enjoy it and I get referrals from them. But people who don't know me or know someone I have read for seem to get this strange, "oh is that all" tone.

I had a long discussion with my dad about the subject once. He thinks I should charge a lot more but i am one of those people who has a hard time charging at all. It is interesting what you say about market values and all. I live in an area where Tarot reading is not so common. There are a certain amount of 'well known' readers who charge like wounded bulls, certainly more than I would pay. I had the chance to watch one in action when we read together at an expo a few years back. She was one who did the whole set up, incense sticks, crystal ball on the table, etc. She herself looked quite unwell. From where i sat she managed to totally upset quite a few clients so much that they stormed off. but she must have been good because I was told she was very accurate. Anyway to get back on track, she was the most expensive reader there but she got more business despite looking both sick and a few slices short of a picnic. This may have been because she looked the part more than any of us there but i was under the impression it was because people thought 'she must be good to charge so much'.

So of course what is too much or too little will depend on the market around you. And while we as readers may know that higher price does not necessarily equal better quality reading, perhaps out there in the general public it does. And I'm not refering to people who have already had the chance to experience our talents but those who are shopping for someone to see.