Setting the right price is one of the most important—and most difficult—decisions a small business owner has to make. Charge too little, and you may not cover your costs. Charge too much, and you may scare away potential customers.
But here’s the truth: pricing is both a strategy and a mindset. It’s not just about math—it’s about value, positioning, and sustainability.
This guide will help you set prices that feel fair to your clients and keep your business growing.
Step 1: Know Your Costs
Before you can price anything, you need to know exactly what it costs you to produce or deliver your product or service.
There are two main types of costs:
Fixed Costs (monthly expenses that don’t change)
- Rent
- Internet and utilities
- Website hosting
- Software subscriptions
- Equipment
Variable Costs (per product or service)
- Materials
- Shipping
- Packaging
- Transaction fees
- Labor (including your time)
Tip: Track everything for at least one month to get a clear picture.
Step 2: Add Your Desired Profit Margin
Once you know your costs, decide how much profit you want to make on top.
A basic formula:
Price = Cost + Profit Margin
For example:
- Cost to make a product: R$ 30
- Desired profit: R$ 20
- Selling price: R$ 50
This ensures you’re not just breaking even—but actually earning.
Common Markup Ranges:
- Handmade goods: 50%–100% markup
- Digital products: often 80%+ markup (low cost, high value)
- Services: charge per hour or per project based on value and time
Step 3: Research the Market
It’s important to know what your competitors are charging—but don’t blindly copy them.
Ask:
- Who are they targeting (budget vs. premium clients)?
- Is their offer exactly like yours?
- What’s included in their price?
Your price should reflect your value, not just the average market rate.
Step 4: Consider Your Brand Positioning
Price also sends a message.
- Low price = affordable, accessible, maybe “cheap”
- High price = premium, exclusive, high quality
Decide how you want your brand to be perceived and align your pricing accordingly.
Example:
If your service includes personalized support, premium tools, or fast delivery—you should charge more than a basic, hands-off alternative.
Step 5: Don’t Undervalue Yourself
Many beginners feel insecure about charging what they’re worth. But undervaluing yourself leads to:
- Burnout
- Low motivation
- Unsustainable business
- Clients who don’t take your work seriously
Your price is a reflection of your value and your respect for your own time.
Step 6: Offer Pricing Tiers (When Possible)
If you serve different types of clients, you can create pricing options to fit various needs.
Example for a service-based business:
- Basic Plan: Email support only — R$ 200
- Standard Plan: 1 Zoom call + support — R$ 400
- Premium Plan: Full support + extras — R$ 650
This helps clients self-select based on what they need and what they’re willing to invest.
Step 7: Show the Value, Not Just the Price
Clients pay for results, not just for your time or materials.
Make sure you communicate:
- What problem your product/service solves
- What transformation or benefit they’ll receive
- Why your offer is worth the price
Example:
“R$ 250 for a logo” sounds expensive.
But:
“R$ 250 to create a brand identity that attracts your ideal customer and builds trust” = worth it.
Step 8: Be Transparent and Confident
When it’s time to share your price:
- Be direct and clear
- Avoid apologizing or over-explaining
- Say it with confidence
- Offer a breakdown if needed, but stand firm
People feel your energy. If you hesitate, they will too.
Step 9: Review and Adjust Regularly
Your prices aren’t permanent.
You should review them:
- When your costs increase
- When you gain more experience or credentials
- When demand grows
- At least once or twice a year
Don’t be afraid to raise your prices—especially if you’re delivering more value than before.