Why the fastest way to sell a unique product or service is often to leave a little value on the table.
One of the most common questions in business is deceptively simple:
“How much should I charge?”
Whether you’re selling a house, a consulting service, a piece of artwork, a software platform, a vintage collectible, or an invention nobody has ever seen before, pricing can feel like guesswork.
Yet the answer is often much simpler than people think.
Start With Reality, Not Hope
Many sellers make a critical mistake. They begin with what they want to receive.
The market doesn’t care.
Buyers don’t care how much time you spent creating something, how emotionally attached you are to it, or how much money you need.
The market only cares about value relative to alternatives.
Instead of asking, “What do I want to get?”
Ask:
“What did something comparable actually sell for recently?”
Notice the word sold.
Not listed.
Not advertised.
Not offered.
Sold.
Asking prices are merely wishes. Sold prices are facts.
If a nearby restaurant sold a similar catering package for $5,000, if a consultant closed similar projects at $20,000, or if comparable homes sold for $950,000, those completed transactions tell you what buyers were actually willing to pay.
The market has already answered the question.
Your job is to listen.
The Power of Asking Slightly Less
Once you’ve discovered recent comparable sales, a surprisingly effective strategy is to price just below them.
Not dramatically below.
Not enough to look desperate.
Just enough to create obvious value.
Suppose comparable products sold for:
- $950
- $975
- $1,000
- $1,025
A seller may be tempted to ask $1,100 because they believe their product is superior.
But buyers compare options.
A price of $949 instantly creates a different conversation.
Instead of asking, “Why is this so expensive?”
Buyers ask:
“Why is this available for less?”
The psychology changes.
Momentum increases.
Response rates increase.
Negotiations become easier.
Sales happen faster.
Why Slightly Lower Often Produces Higher Profit
Many people assume maximizing price maximizes profit.
In practice, holding out for the highest possible price often creates hidden costs:
- Longer marketing periods
- More advertising expense
- More time spent negotiating
- Lost opportunities
- Inventory carrying costs
- Reduced cash flow
A product that sells today for $9,800 may be more profitable than one that finally sells six months later for $10,500.
Business success is not merely about price.
It’s about velocity.
Money that moves creates opportunities.
Money tied up in unsold inventory does not.
What If There Are No Comparables?
Sometimes there are no meaningful comparisons.
Perhaps you’ve invented a new technology.
Perhaps you’re selling an original artwork.
Perhaps you’re offering a highly specialized service.
Perhaps your product is genuinely unique.
In these cases, traditional market comparisons become impossible.
Many sellers respond by choosing an aggressive number and hoping for the best.
A better approach is surprisingly practical.
Ask yourself:
“What amount would make me genuinely happy to complete this transaction?”
Then reduce it slightly.
Not drastically.
Slightly.
If you’d be delighted to receive $50,000, perhaps ask $49,000.
If you’d love $5,000, perhaps ask $4,800.
If your ideal consulting fee is $20,000, perhaps propose $19,500.
The goal is to create a feeling that the buyer is receiving a little more value than they’re paying for.
That’s where transactions happen.
The Value Gap
Every successful sale contains a value gap.
The buyer must believe they are receiving more value than the money they are giving up.
The seller must believe they are receiving more value than the product, service, or asset they are giving up.
When both parties feel they came out ahead, transactions occur naturally.
Pricing slightly below perceived value widens that gap.
Pricing above perceived value eliminates it.
The Ego Trap
One reason sellers overprice is ego.
We naturally believe our work is worth more.
Our home is nicer.
Our consulting is better.
Our invention is revolutionary.
Our art is exceptional.
Sometimes that’s true.
The problem is that buyers have not yet reached the same conclusion.
The market rewards demonstrated value, not claimed value.
A slightly attractive price allows buyers to discover the value for themselves.
The Fastest Pricing Formula
When in doubt, use this formula:
If Comparables Exist
- Find recently sold comparable products or services.
- Ignore asking prices.
- Focus on completed transactions.
- Ask slightly less than comparable sales.
If No Comparables Exist
- Determine the amount you’d truly like to receive.
- Reduce it slightly.
- Create a small but obvious value advantage for the buyer.
- Let the market respond.
The Bottom Line
The best pricing strategy is rarely to ask the most you can imagine receiving.
It is to create enough value that buyers feel smart saying yes.
If comparable sales exist, let the market tell you the price and come in slightly below it.
If your offering is unique and no market data exists, ask for just a little less than you’d ideally like to receive.
The objective is not to squeeze every last dollar from a transaction.
The objective is to create a transaction that actually happens.
A sale occurs when both sides feel they won.
Price accordingly.
After all is said and done, it will be time to raise prices. After you have sold several similar items, or after you have established a valuable brand, then it’s time to work on raising the price to maximize profits. Once you have perfected your product and you know the market, its vital to get every penny you can so that your profit is maximized. This will allow you to keep improving the products, keep growing your business, which is necessary to stay in business over the long haul.
ABOUT THE AUTHOR:
Corey Chambers is a California real estate broker with more than 15 years experience pricing homes across the entire state as a BPO Broker Price Opinion specialist.
FIND OUT HOW MUCH YOUR HOME IS WORTH FREE, ONLINE
Get a free list of recently sold home, along with a list of homes currently on the market in your neighborhood. Contact Corey Chambers 213-880-9910 corey@entar.com
Copyright © This free information provided courtesy Entar.com with information provided by Corey Chambers, Broker DRE 01889449. We are not associated with the seller, homeowner’s association or developer. For more information, contact 213-880-9910 or visit WeSellCal.com Licensed in California. All information provided is deemed reliable but is not guaranteed and should be independently verified. Text and photos created or modified by artificial intelligence. Properties subject to prior sale or rental. This is not a solicitation if buyer or seller is already under contract with another broker.
