Are your prices incentivizing the wrong behavior?

Last week, I talked about which unit of measure one might use to price their product.

If a tax return was priced by the…

…ounce, one could be incentivized to find ways to make that return weigh more. Insert “this page intentionally left blank” pages, use heavier paper stock…

…page count, one could be incentivized to find ways to make that return longer. Larger font, narrower margins…

…thickness, one could be incentivized to find ways to thicken the return. Thicker stock, smaller-sized paper, or print on one side only…

…hour, one could be incentivized to find ways to make it take longer. Maintain inefficient systems, use slow software, shy away from ChatGPT, avoid training staff, let the phone ring to interrupt your train of thought, allow walk-ins to bog down your staff with excessive small talk, hold client meetings without an agenda, enable notification noises to distract you….

Pricing incentives shape behavior.

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If your firm’s pricing model rewards grind, inefficiency, or endless hours… don’t show up with your surprise face 🙂 when that’s exactly what you get.

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