Do you have any idea what percentage of each of your purchases reflects the actual value of the product and what are the overheads? I think about it each time I see a billboard or mean a smiling company representative. Ultimately, it's the customer who pays for them and when I happen to be a customer, I'm not happy to see my money abused in this way.
If you are self-employed, you have the power to reduce the overheads significantly. Just to clarify, here are some examples of overheads and ways of eliminating them:
- taxes - no escaping those, unfortunately
- advertising - if you do not employ Claudia Schiffer to promote your product, your customers will not have to pay her fee
- wages and social insurance payments for the employees - as a customer, I'm not entirely happy to sponsor the paychecks of ladies whose only duty is making coffee and smiling. As a small business owner, I buy only the absolutely necessary services
- expenditure for running an office - not applicable if you work from home (what a wonderful opportunity to save your customers some unnecessary expenditure!)
Possibilities are endless. Gratitude of your customers - guaranteed.