Pricing Service Strategy: Is it time for a change?

pricing service strategyWedding professionals are often frustrated by brides and grooms don’t appreciate the value of their services. Ultimately, aside from ‘customer service,’ there are three major factors that come into play.

  • Hours of service
  • Price for product/service
  • Quality and Value of the result

One problem is traditional wedding service pricing structure. For example, DJ Entertainer and Photography pricing is quoted within the framework of ‘time in direct service with the client.’

While customary in the wedding industry, linking pricing only to face-to-face service at a wedding, or wedding and reception, drastically understates the total service time. 

A wedding couple doesn’t know how many hours it takes to prepare custom introductions, tracking drown obscure music, travel or a host of other event-specific tasks. It’s hard for the couple to understand why the price is so high (in their eyes). Hours of work at a wedding and reception are a specific measure of your effort; however, grossly incomplete. The result is more subjective. Hours of performance do not equal the value of your work.

It is not enough to show a prospect video clips of successful events and expect an instant understanding degree of difficulty. All special events have their own degree of difficulty. It’s unreasonable for your prospect to know that, going in.

If one doesn’t explain situational differences in equipment, lighting, skill level, etc., you are just hoping the prospect figures it out. Likely an unreasonable expectation.

A disc jockey, photographer, or videography service (among others) usually prices itself for a specific number of  performance hours. Travel and set up are typically not mentioned not in discussion or noted in an agreement (unless the event is outside the local market area).

What effect might occur if proposals and agreements included a ‘simple informational statement’ indicating a summary of unseen work, associated with your event service, not occurring during the reception time frame?

Effective service implementation, meeting or exceeding client expectations, includes explaining the total scope of your service, at some level.

  • Maybe this approach should become an industry-wide standard for wedding marketers?
  • What would change in the process of selling if every prospect understood you total measure of service, and its impact on a successful outcome?

I know, I’m turning wedding industry pricing and selling approach on its ear. Maybe it’s time to do that.

Andy Ebon - wedding marketing expert

Andy Ebon
The Wedding Marketing Authority
The Wedding Marketing Blog

Griffin Mansions Declares Bankruptcy

Griffin Mansions (Griffin Events, Inc.) declares bankruptcy

bankruptcy

Late last night I posted News 3 coverage on Griffin Mansions closure garners angry comments from bridesThis morning, I was greeted by a My News 3 updated announcement that Griffin Events. Inc. (aka Griffin Mansions), Las Vegas event facility has filed for Chapter 7 bankruptcy.

My News 3 reporter, Michelle Velez, updated her earlier reports to share some of the details about the filing. Some of the report simply recapped basic details, leading up to the filing. However, she did add that Griffin had failed to fully complete the paperwork, leaving out certain basic information, required in the filling. That would suggest (to me) that this was a rushed process.

There are various kinds of bankruptcy (reorganization, liquidation, etc.,) and I am not fully conversant in the nature of a Chapter 7. I do know this: If there is the potential to recover any money, it is important to submit certain documentation with the bankruptcy court. The court has procedures for a pecking order in who gets paid, in what order, and what portion is paid (depending on liquidation of assets). I’m certain My News 3 will continue to follow-up with some information about the progress of the bankruptcy and how wedding couples might proceed.

UPDATE ON CHAPTER 7 BANKRUPTCY:

In reading the Wikipedia description, Chapter 7 is described, essentially, as a liquidation, administered by a court appointed trustee.

While the most notable losses and frustration rest with brides and grooms, it’s highly likely that any number of wedding professionals have also been left high and dry. I expect to find that companies are owed money by Griffin Mansions for services, already performed, and there are cancellations of services booked (just as for the wedding couples). The value of lost business is a matter of timing. If services were, but not paid for, those revenues are likely lost.

Last moment cancellations since the closure of Griffin, and those in the immediate future, are difficult to replace, and probably lost. Only advance bookings, from later this year, forward, will be more easily replaced with new clients. Reporter Velez noted that Griffin had events booked into 2014. There is no telling how many events are wiped out, and the grand total of money down the drain.

Andy Ebon
The Wedding Marketing Authority
The Wedding Marketing Blog