How to Determine The Price For Your Business/Service:
Our price calculator is designed to be simple and easy to use. It covers everything you need to price your dog walking business
We hope this calculator helps you make more money for your business.
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How To Price Your Dog Walks
One of the most challenging aspects to starting a dog walking business is determining how much to charge for your dog walks.
When businesses under-price their product, this can be extremely detrimental to their bottom line and reputation.
Often times, businesses under-price their products to drive demand and volume, but that last thing you want is for customers to view your product/service as "cheap." Additionally, this can have a big impact on the type of customer you attract, which can be difficult to recover from.
On the other hand, when businesses over-price, this tends to be just as damaging to the business.
When customers buy, it's likely that they will explore the internet and look at other competitors to ensure they're getting the best value + deal. This is why it's so important that you research your competition and understand where you land in the marketplace.
Here are some factors to consider when pricing your product:
Understand your customer
It's important that out of the gates, you identify the type of customer you want to attract and how much they're willing to pay for your service. One great way to do this is by surveying your customers. Here are some important items you'll want to takeaway:
- Customer demographic: Age, gender, location, etc.
- Buying habits of your customer: What they buy + when they buy
- Level of price sensitivity with your customer
All of these segments will help you identify the type of customer you're attracting and how to price your product accordingly.
Understand your costs
When pricing your dog walks, it's critical that you first identify all of your costs and consequently mark up your dog walks so you can factor in a profit.
The actual cost of your dog walks may include things like:
- The actual cost to make the product (ie. raw materials, supplies, manufacturer).
- Shipping + overhead fees
- Operating costs to run your business
You may want to consider creating a spreadsheet with every single expense involved in operating/owning your business. This will give you an idea as to what you need to generate in order to at the very least, break-even and will help you price your products to factor in a profit.
Create revenue goals
When determining the price of your dog walks, you'll want to create goals for revenue + how much profit you want your dog walking business to make.
This process is simpler than you may think:
- Think about your breakeven cost (by completing the above step).
- Create a revenue goal based on your break-even cost
- Evaluate the # of items you plan to sell in a given period (make sure this is a realistic number)
- Divide your revenue goal by the number of items you plan to sell
This figure will help determine your estimated price per product in order to meet your revenue goals.
Evaluate your competition
The last piece in determining how to price your dog walks is by simply looking at your competition.
The best way to do this is by finding like-minded businesses that offer product(s) with similar perceived value. Then, you can compare prices of the different businesses and determine where your dog walks fits best in the marketplace.
All of these factors play an equal part in pricing your dog walks, so it's important you evaluate each one individually to come up with an accurate price that will help optimize your business from the start.
Learn more about starting a dog walking business:
Where to start?
-> Other dog walking business success stories
-> Examples of established dog walking business
-> Marketing ideas for a dog walking business
-> Dog walking business slogans
-> Dog walking business names
More Tips On Pricing Your Dog Walks
Lauren Costanza, founder of Bluminary provides us with a detailed spreadsheet of all of her costs associated with running her business:
I knew this would be a self-funded adventure, and I set aside $3,000. During the first three months, I had a detailed spreadsheet where I tracked where the money was going and what was going toward products versus researching and developing new products.
The spreadsheets involved columns and rows of numbers to craft a budget and gain an understanding of how much would need to be invested at each stage of the process - from gathering supplies to building a website, and shipping materials.
Thanks for reading. We wish you success in your business endeavors.
Examples of a successful dog walking business
9. Furry Fellas Pet Service LLC ($648K/year)
Melodi Landi (from Bristol, TN, USA) started Furry Fellas Pet Service LLC over 17 years ago.
Hi. My name is Melodi Landi. I am the Founder & Owner of Furry Fellas Pet Service LLC.
Furry Fellas has been voted in the TOP 3 Pet Sitting / Dog Walking Company within the RI / MA area for 8 years in a row!
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Hey! 👋 I'm Pat Walls, the founder of Starter Story.
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