Setting your price point

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Slinky Bender

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#41
Originally posted by San_Te
Wouldn't it be possible for Kimmie or any escort for that matter to increase total revenue by lowering their rate?
Not necessarily: If any service provider had all of their "available" time already booked at their given rate, lowering rates wouldn't result in increased revenues.

NB: "Available" can be a "choice", in that someone can choose to limmit their availabilty to 2 hours a week.

Again, just to be clear, my comments about lowering rates don't apply to those might already be priced "accordingly" or even below what the current market will bear.
 
#42
Re: Just an observation

this is another one that's really simple.... it's all about supply and demand. and anything that people truly enjoy and regardless of the economy, will continuously plop down their earned money down for, will never need to be discounted. just as good sports franchises never have problems selling tickets regardless of how expensive they get, good providers never have problems booking... thus never needing to discount their rates. great providers (like sasha and others) can raise their rates to just about anythihg they want. she'll lose customers at one price point, but she'll gain new ones to replace them or will swallow it in her new higher rate no problem. providers who seek the help of shills or who need to discount their wares, are either too new or have no reputation yet, aren't doing their job up to certain standards, or they have some stigma attached to them that people don't want to see them. every girl i've ever met who supplied quality service has never had a problem booking, and usually turns away more than they see.
 
#43
Just as a side note........

For any girls out there that are considering adjusting thier rate UPWARDS.......let me say that you must out of your minds......unless you are servicing the most elite and rich men in the country.
 
#44
Slinky, right! You must take into consideration the elasticity of demand, current business and rates etc. Unfortunately, finding an optimal price is difficult to say the least. The point is the MARKET sets the price.
 
#45
Sant_te,

Yes, the laws of economics will always prevail.

Of course, the most desirable woman will always command the highest price.......and that price will be paid by the richest clients in the world. But... there is nothing new here.


But the rich and famous are an exception from the rule.


The economy of the country is mainly based on cash flow among the masses and their paychecks, and the products and services that they need.

Straight ahead,
Capy
 
#46
Read My Lips..

Originally posted by San_Te
Captain,

Wouldn't it be possible for Kimmie or any escort for that matter to increase total revenue by lowering their rate?

This is like every other business and some just don't understand economics and their market. Why do you think the majority of businesses fail?
If I lower my rates I am forced to see more clients a week. I do not have the flexibilty to travel to different states or to different areas, ie: Long Island, NYC, for a call.

I am very happy with what I make right now. Would I like to make more? Sure! Is it worth my sanity and the "wear and tear" on my body? Hell no.

I can not lower my living expenses. My living expenses increase with each day.

I need a home. I need a car. I need to feed and cloth my kids. I need to have electricity. I need to do keep up my appearences for my job. I need to have a cell phone for work. I need to advertise or I would no money. And I need to buy condoms.

I dont want to lower my rates. I dont want to see more clients. I think that my strategy for marketing myself works fine. It might not work for someone else, but it works great for ME!

If there is a provider who wants to and can see many clients in a week, and business is slow, then by all means she should lower her rates. She will get more clients.

That doesnt work for me..

I might not be making a profit like I use to when I charged 200 and saw 13 clients in 2 days. But I am happier.



P.S. All my regular clients who met me before my rate increase are still paying the rate I had when we first met.
 
#47
Kimmie,

If you can still keep your rate where you want it......then you do that!

My point in this thread is that we are in HARD TIMES and we ALL have to make adjustments......unless of course, you are in the arena of the very wealthy.

Straight ahead,
Capy
 
#48
Originally posted by slinkybender


Not necessarily: If any service provider had all of their "available" time already booked at their given rate, lowering rates wouldn't result in increased revenues....
Anyone "booked" like that doesn't need to change. We're talking about girls who are losing business.
 
#49
Kimmie your post makes my point that it is possible for you to increase your revenue by lowering your rate. It is your CHOICE to do so or not. Many opt for working less and making less because they value other things in their lives.

As to not being able to lower your living expenses well that is up for debate. One thing I have learned is a person's expenses will rise to their level of income. You state you NEED all those things but there are very few things a human actually needs to survive. You CHOOSE to have those certain things. Believe me, if you didn't have the income to have those things you would learn to do without. Just ask your grandparents or parents what they had when they came to this country and what one truely needs. They would have slapped me in the back of the head if I asked for $220 a month for Karate lessons. LOL

As I said the MARKET sets the price on your services. Whether you CHOOSE to set your price above or below the going rate is going to determine your business. It is that simple!
 
#50
Re: Re: Just an observation

Originally posted by Ozzy
... every girl i've ever met who supplied quality service has never had a problem booking, and usually turns away more than they see.
You must not be hobbying lately. EVERY one I have seen in the last 3 months has mentioned a slow down (about 8 people) and they were all quality girls. Albeit NNJ.

Also I have noticed a big big increase in providers e.mailing clients to drum up business.
 
#51
Capy, I have seen you make references in many threads about how you would like to meet certain providers, but you can not because of your financial situation. Perfectly understandable. If you can't do it, you can't do it.. I sure you have blue balls reading about everyones great encounters. :)

I am curious, what is the rate that you think is fair and that you would pay?

For example Betty. You have said you would love to meet her. She charges a VERY reasonable rate for her services. If betty lowered her rate by 100 dollars would you see betty right now?

Sorry betty for using you as an example. I am sure betty has no plans to lower her rates or at least lowering them that much. It is simple a hypothetical question.
 
#52
Originally posted by San_Te


As to not being able to lower your living expenses well that is up for debate. One thing I have learned is a person's expenses will rise to their level of income. You state you NEED all those things but there are very few things a human actually needs to survive. You CHOOSE to have those certain things. Believe me, if you didn't have the income to have those things you would learn to do without. Just ask your grandparents or parents what they had when they came to this country and what one truely needs. They would have slapped me in the back of the head if I asked for $220 a month for Karate lessons. LOL

As I said the MARKET sets the price on your services. Whether you CHOOSE to set your price above or below the going rate is going to determine your business. It is that simple!
So I dont need to feed my kids?

I admit the karate lessons are not a necessity.( thats 200 a month for 3 kids, not 1.)

I have three boys who love the classes and enjoy the discipline that comes along with taking karate.
I want my kids to enjoy things like softball, little league, karate. It makes them happy, therefore it is a necessity.

Geez you act like my list was shallow and superficial. I listed things that many people require to survive. Minus the nails and toes of course..
 
#53
Kimmie.

You are correct in your assessment of my financial condition.

I'm temporarily out of the "loop" because of my own financial restrictions.

I'm not saying that you girls should be "giving it away" to me, or any one else.

What I am saying is.....WE ALL MAY HAVE TO MAKE ADJUSTMENTS IN OUR LIFESTYLE.....even if it's only a temporary situation.

The laws of economics don't care about you or me......they are a proven reality.....developed from many years of observation.

So I'm saying that you have to be aware that we ALL need to make compensations in our lifestyle at this time.

You can thank AG, for destroying the stage that corporate America is playing on.

As a result, we are ALL affected in one way or another.

Straight ahead,
Capy
 
#54
I agree if things are tough for someone they need to look at their situation and do what is needed to change it.

That is what I did when I raised my rate. I looked at my situation, burnt out due too over booking and changed it.

I hope you get back to hobbying soon.
 
#55
Kimmie,

If you can raise your rate and still keep you steady clients.....then that is what you should do.

In economics, it's the law of suppy and demand.

The supply and demand is always changing, and this is what you and all of us have to be aware of.

Straight ahead,
Capy
 
#56
Originally posted by capitan
Just as a side note........

For any girls out there that are considering adjusting thier rate UPWARDS.......let me say that you must out of your minds......unless you are servicing the most elite and rich men in the country.
No, they are not out of their minds and are quite correct to do so as long as they have more clients calling for appts than they can accomodate whether they are dealing with the Donald Stumps or the Joe Blows.

For those who are unhappy with their current business and want or need to increase their income there is always the option of offering introductory specials or deeper discounting of multi-hr appts or early morning discounts or offering extra time at the same price in order to drum up business.

What happens, I think, with some women who work in this industry is that rather than strategizing their rate structure for the market, they somehow begin to equate the rate they receive for services with their personal value which is dangerous both personally and professionally for the woman who goes down this path.

When the internet prostitution business began to take off the amount of available money as well as the newness and thrill of shopping for escorts on line made it relatively easy for a woman to establish a successful business if she was reasonably hard working and orgainized. With less dollars and perhaps less interest in the market competition is stiffer and not all are ready or able to respond to these changes successfully.

I think that Betty's and Dee's strategy of offering occasional perks to established client's is the smartest approach to both maintaining client base and to holding ground when times are tough.


The issue of pricing and the current economy has more to do with new girls who have no reputation or established clientele as well as those in the upper pricepoints who are known to offer mediocre service. I also think that the economy has had more effect on the semi-pro market in that there are more women who are available and at lower rates than with established professionals.

At a certain point, the influx of new talent at a lower price may cause a shake-up in rates with established providers. However, unless the economy goes into the toilet, if price drops too precipitously there will be less incentive for a woman to become a sex worker because it is the good dollars which offsets the risk and the stigma of the job.

Although I sympathize with Kimmie and women like her who need to support their families if they are not making enough to cover your expenses then they need to change their strategy. If they are satisfied with their income then this discussion doesn't pertain to their situation.

Finally, it is generally established in the business world that the weakest reason to ask for a raise is that your salary doesn't cover your expenses.
 
#57
Originally posted by Kimmie


So I dont need to feed my kids?

I admit the karate lessons are not a necessity.( thats 200 a month for 3 kids, not 1.)

I have three boys who love the classes and enjoy the discipline that comes along with taking karate.
I want my kids to enjoy things like softball, little league, karate. It makes them happy, therefore it is a necessity.

Geez you act like my list was shallow and superficial. I listed things that many people require to survive. Minus the nails and toes of course..



Kimmie my point is there are few things which truely are necessary to survive. You choose to consider certain things to be a necessity but there are plenty who do quite well without a car, cell phone, karate, manicures etc. To those who can't afford these things they would consider them superficial. It is all relative. Sort of like the way we might feel about major league baseball players making millions per year but wanting to go out on strike. I am sure they consider things to be necessary which you or I would consider very superficial.
 
#58
Originally posted by Kimmie
Capy, I have seen you make references in many threads about how you would like to meet certain providers, but you can not because of your financial situation. Perfectly understandable. If you can't do it, you can't do it.. I sure you have blue balls reading about everyones great encounters. :)

I am curious, what is the rate that you think is fair and that you would pay?

For example Betty. You have said you would love to meet her. She charges a VERY reasonable rate for her services. If betty lowered her rate by 100 dollars would you see betty right now?

Sorry betty for using you as an example. I am sure betty has no plans to lower her rates or at least lowering them that much. It is simple a hypothetical question.
Kimmie

I think Betty is a bad example. She seems to have a full dance card and his priced correctly to the market. She may even be able to increase her rates and test the market ( please don't).

I think the point here is there are not as many availble dollars to fund this hobbie and something has to change to fill a providers card. If you are doing as much business as you want and generating the desired cash flow than don't change a thing.

If on the other hand a girl is not generating the desired volume of business than something has to change. I would never suggest cutting rates in half and seeing twice as many clients to achieve the the target income.

If you want to capture a large share of a depressed market you need to be creative. Special rates for those times that as of late you can't seem to book. Extended sessions same money to encourage regulars to particapate more frequently. These would result in a few more hours worked but no more clients per week helping keep your sanity.

The option in hard times is to cut expenses like many business and go without things we think we need or capture more of a limited market.

Dog
 
#59
BD, I used betty as an example not because her business is suffering, but because, as I said, Capy has expressed much interest with meeting her.

I am sure I will have to lower my rates when business gets bad and I am really struggling to survive. I will have to put aside my enjoyment of seeing fewer clients in order to make ends meet.

Right now though, it's all good.

P.S. Only regular clients get the reduced rates and birthday freebies.
 
#60
I don't get it San_Te

Originally posted by San_Te

Kimmie my point is there are few things which truely are necessary to survive. You choose to consider certain things to be a necessity but there are plenty who do quite well without a car, cell phone, karate, manicures etc. To those who can't afford these things they would consider them superficial. It is all relative. Sort of like the way we might feel about major league baseball players making millions per year but wanting to go out on strike. I am sure they consider things to be necessary which you or I would consider very superficial.
I can't quite figure out what San_Te is trying to say in his two posts. On the one hand he seems to be telling Kimmie to cut back her expenses. I don't know why he would be doing that as I there doesn't seem to be anything indicating the need for that. (Unless he thinks her rates are too high.) Alternatively, he seems to be making a general case that anybody, if they had to could live on less.

Take the part of the quote where he say cars, cell phones are not necessities. Wait a minuet. Really - do without a car. Unless you live and work in the midst of incredibly good public transportation, a car is a necessity. Right, you can live without one, just like you can live in a refrigerator carton instead of house. Suburbanites need a car. Phones are business necessity (what's the alternative - smoke signals? Oh, I getting hot for Kimmie better channel some of that in making a fire and sending her a signal. Better plan ahead to cause it will take her 4 or 5 hours to walk to my place.)

So what are you telling us in your posts San_Te. Are you saying that Kimmie is spending too much OR are you just posting that if it was really, really necessary any of us could spend a little less.
 
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