$29 Salad?

san5_beachfront_restaurant_3636It’s a beautiful day. You want to be outside.  You’ve been holed up in your office all week.

So you you go to a fancy shmancy hotel for lunch.

It’s on the beach. Gorgeous view.  Very romantic.  The whole deal.

Montage Laguna Beach anyone?

You and your date go. You order 2 chopped salads and get 2 waters.  You really don’t look at the prices on the menu.

It was a lovely lunch – until you get the bill- for $65!

What? 65 bucks for 2 salads?


What if the salad was $10 and they charged you $19 for the view?

Or you brought your own salad and just asked to pay for the $19 view?

Or if you ordered the salad and got a deal because you turned around – and didn’t have to pay for the view!


It doesn’t work that way.

If you plan on eating, you have to pay for the view and pay for the food!  That’s the only way it’s priced.

Of course you could sit on a bench or just take a walk around the hotel – but if you want to have a bite or a drink – you’re paying full boat baby.

They are not giving you the choice to buy just the salad or just the view.

If people just bought the salad, or just bought the view – the hotel wouldn’t make enough money to cover their costs and make a profit.

Business lesson : you must price your products and services to make money.

You can’t give your customers an option to buy something if you lose money – or at least have an upsell where you make money.

It’s perfectly fine to give your customers choice when they buy stuff.  But at each price point, you must cover your costs and make a profit.

Don’t undervalue yourself. It’s not just about the product you are selling. It’s the result or outcome. That’s the view at the hotel… It’s what people are paying for.

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$29 Salad?

  1. This article totally changed the way i plan to sell to my customers in the future. It was so profound when you said “Don’t undervalue yourself. It’s not just about the product you are selling. It’s the result or outcome.” That’s so true! I am constantly trying to beat the prices of my lower quality competitors yet the outcome is very different between using their products and mine. That’s going to be my new business philosophy! Thanks for the insight Justin

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