The Chick-fil-A Pricing Philosophy

Summary

• I stick to a clear pricing strategy: it's either full price or it's free. No discounts.
• I don't negotiate on prices because it suggests that prices are always flexible and open to bargaining.
• If I lower my prices just to make a sale, it tells people that my prices aren’t genuine and everything can be negotiated.
• I set a price I believe represents the true value and worth of what I'm offering after careful consideration.
• A consistent price strategy helps communicate reliability and value to my customers.

Video

How To Take Action

I would suggest implementing a clear and consistent pricing strategy. Think carefully about the value of what you're offering and set a fair price that reflects it. Make sure you believe in this price, as it communicates not just the worth of your product, but your confidence too.

A good way of doing this is either charging the full price or offering your service or product for free as a rare exception. When you give it for free, it’s a strategic move to provide value in advance and build relationships, not random giveaways. Offering discounts or negotiating prices can signal to people that your prices are flexible, and over time, that can undermine trust in your pricing.

Also, remember that sticking to your prices shows reliability. It's like saying to your customers, “I stand by my products and I’m confident in what they bring.” Show your customers the reasons behind the pricing and the value they’re getting. This transparency builds trust.

Whenever you're tempted to lower prices just to close a sale, ask yourself if that aligns with your long-term vision. Sometimes a strategic price decrease might be necessary, but it should be a decision you make mindfully, not something that happens in the heat of negotiation. In the long run, maintaining your pricing integrity can lead to more loyal customers who understand the true value of what you offer.

Full Transcript

I follow Chick-fil-A's philosophy with pricing it's either full price or it's free I never discount for a number of reasons but the biggest one being I don't negotiate with terrorists the price is the price I can make the decision as a business owner that okay strategically I'm not getting the take rates I want I will strategically lower the price but to lower the price to get someone to buy communicates to them and to every single person they tell that your prices are not true everything that you have is up for negotiation and if you want the rest of your life to be a haggle by all means but in my experience I have a standard price that I have thought a lot about why I price at this price and that is what it is worth to me