Free guide: How to Price Your Product or Service

Pricing Strategy: In this episode of Money Secrets, Fi tackles one of the most important decisions every business owner makes: pricing.

Drawing on 25 years of experience working with small businesses, Fi explains why undercharging is one of the most common mistakes she sees and how it can impact both profitability and growth. She unpacks the psychology behind pricing, why "affordable" isn't always the goal, and how your pricing influences the way potential clients perceive the value of your products and services.

Fi also shares a practical framework for setting prices that support your income goals, including how to break down revenue targets using the two key levers available to every business owner: price and volume.

Whether you're a service provider, freelancer, consultant, or product-based business owner, this episode will help you rethink your pricing strategy and build a business that is both profitable and sustainable.

🎧 Tune in to learn why pricing matters more than you think, how to stop undercharging, and the simple calculations that can help you make more money without working harder.

What you'll learn in this episode:

Why undercharging is so common. Many small business owners price based on fear, affordability, or a desire to be liked rather than business sustainability.
The hidden cost of being "affordable." Low prices can create perceptions of lower quality and attract the wrong customers.
Why pricing has such a significant impact on your income. Your pricing decisions directly influence your ability to generate revenue and profit.
How to calculate what you need to earn. Breaking down annual revenue goals helps create a realistic plan for achieving them.
The two levers that drive revenue growth. Every business can increase income through either higher prices or higher sales volume.
Why increasing prices is often easier than increasing volume. Raising your average sale can be more effective than constantly chasing more customers.
How to use pricing to reach your revenue goals. Fi shares practical examples for both service-based and product-based businesses.
Why understanding your costs matters. Time, delivery costs, and business expenses all need to be factored into your pricing.
How pricing influences customer perception. Your prices communicate value, experience, and quality before a client ever works with you.
What high-quality clients expect. Savvy customers understand that great products and services come with an appropriate price tag.
How pricing supports business sustainability. Charging appropriately creates room for better customer experiences, stronger delivery, and greater impact.
Why pricing is both a financial and strategic decision. Setting prices isn't just about covering costs—it's about positioning your business for long-term success.
The mindset shifts needed to charge more confidently. Understanding your value helps you move beyond scarcity thinking and price with intention.
How to build a more profitable business. Small pricing adjustments can have a significant impact on revenue without increasing workload.

💡 If this conversation resonates and you want hands-on support, you can work with Fi one-on-one or join Good Money Club, where small business owners learn how to make and manage money with clarity, confidence, and impact.

- Good Money Club (doors are open now)

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In this podcast, Money Secrets, host Fiona (Fi) Johnston, Chartered Accountant, small business advocate, and impact enthusiast, dives into the conversations we need to have about money. The secrets that once stayed behind closed doors (or on the golf course) are finally out in the open.

Fi’s mission? To get more money into the hands of good people, like you. She believes small businesses can change the world, but only if we're making money and managing it well.

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Thank you to everyone involved for bringing this podcast together. We are excited to hear from you with any questions, feedback or suggestions for future episodes that you might have. Send a Direct Message to @peach.business

If you are excited for what’s to come, please like this episode, follow the podcast and share it with your friends. We are thrilled you're here.

Check out my FREE Pricing Training you need to set your prices for profitability.

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This podcast episode was recorded on the lands of the Wurundjeri People of the Kulin Nation and I'd like to acknowledge them as the Traditional Owners and custodians of this land and water that I live, work and play on. I'd like to pay respect to elders both past and present, and note that sovereignty has never been ceded. This always was and always will be Aboriginal and Torres Strait Islander land.