Eight kinds of utility and four perceptions of value.
If indeed we believe the phrase “perception is reality,” then it is the client’s perception that is the only reality. Ultimately, only a client can determine the value of your service, that is, the fee he or she is willing to pay. If the client perceives that he or she has received a benefit there will be some perceived value attached to the service.
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Consciously or unconsciously, the client’s determination of the correct fee for a service is related to two concepts: utility and value. Let’s look at these two concepts and how they apply to setting prices.
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