Reasonable Pricing Scheme for Local Business Advertising?

4 replies
I am starting a new business applying internet marketing techniques(pretty much anything you can think of that might work) for local businesses, but the one thing I'm getting hung up on is my pricing scheme.

My plan is to charge a reduced monthly fee for one or two months, while basically throwing everything at the wall and seeing what sticks. After this period, I would then let the client see how well each service has done, and decide at that point which ones they want to pay for and which ones they do not. At which point they will begin paying a monthly fee for each service they want to keep, OR, alternatively, pay a single lump sum to purchase the various traffic driving sites, articles, videos, etc.

I suppose what I'm wondering here is what you Warriors think my baseline should be for the initial 'work in progress' charges, and for the lump sum.

I plan to be much more flexible with the other fees, working on more of a 'common sense' metric.

Unless the general consensus is that the entire system I'm suggesting is a mess, at which case I'd like to hear some alternative payment schemes.

Thanks in advance!
#advertising #business #local #pricing #reasonable #scheme
  • Profile picture of the author p2y
    Well without knowing what you will be providing and in what markets it's very hard to give you an advice on your pricing model. In general I think the best route to go is to charge a setup fee ($500 - $2000) and then a fractional monthly fee. But again, it all depends on what you will actually be doing and what market they are in.
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    • Profile picture of the author Don Alm
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      • Profile picture of the author Instructor
        Originally Posted by Don Alm View Post

        With "Monthly" fee programs....I've used a, "One-Time SetUp Fee & per month, with the 1st month included with the SetUp....and....if they pay 6 months in advance (pay for 5 mos), they get 1 month free. Paying 12 mos in advance (pay for 10 mos), they get 2 mos FREE.

        A good percentage will take the "12 Month" deal, paying for 10 mos in advance (saving 2 mos)

        Don Alm
        What services Don and at what price point would you recommend him?
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  • Profile picture of the author artwebster
    Before you start thinking about what to charge don't you think it would be a good idea to actually find out what the local businesses want?
    For a very simple service that saved real cash for businesses I used to charge €250 and €29.95 per month maintenance. I had to stop working about five years ago but recently started teaching other people how to give businesses the money to pay for the services being offered - my star pupil started off charging more than I suggested and then went on to charge 30% of the monthly savings and €49.95 per month. I wish I had set up an overide, she is making a fortune!
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  • Profile picture of the author SeanIM
    I start clients with blueprints/competitive analysis for 1297...publishing platforms for 697...then for ongoing publishing around 380-480 a month and up. I outsource parts of this if I don't feel like 'grunting it out'

    my 2c for the evening
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