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Why You Shouldn't Undercut Your Competitors: The Truth About Pricing in Scalp Micropigmentation

Welcome, fellow Scalp Micropigmentation (SMP) artists and enthusiasts. One of the most frequently asked questions in our field is, "Should we lower our prices to match or undercut a leading competitor?" While this might initially appear to be an effective strategy to draw in more clients, today's blog post aims to shed light on why this might not be the best approach.

Distinct Business Models:

Our journey begins with the realization that each one of us, as SMP artists, operates on a unique business model. We all have varying overheads, a range of services, and utilize different quality of pigments, needles, and other supplies. Just as no two pieces of art are alike, no two business models in our industry are identical. This variation implies that basing your pricing on someone else's model is like comparing apples to oranges—it simply doesn't consider the specific costs and resources associated with your own practice.

Value vs. Price:

The world of SMP is not a traditional marketplace where lower prices are king. Our clients are sophisticated consumers who are looking for value and not just a bargain. They seek expertise, high-quality work, and the reassurance that the artist they choose can deliver a flawless result. In this context, reducing your prices to compete can unintentionally lower your perceived value. Rather than engaging in a price war, focus your energy on highlighting your unique value propositions such as personalized service, advanced techniques, or extensive industry experience.

Different Skill Levels and Experience:

Pricing in the SMP field should be a true reflection of your skill level, experience, and qualifications. A novice cannot—and should not—charge the same rates as a seasoned artist. Reducing your prices to match or undercut an established competitor can create a misconception that you're offering the same level of expertise, and this might lead to disappointed clients and negative reviews. Therefore, it's crucial to price your services according to your skillset and experience, which will naturally increase and improve over time.

Reputation and Perception:

In a specialized and visible field like SMP, reputation is everything. Clients make decisions not only based on price but also on perceived quality and trust in an artist's reputation. Undercutting competitors might lead potential clients to perceive you as desperate for business or lacking in quality, both of which can harm your brand image. A wiser strategy is to maintain a price level that accurately conveys your competence, expertise, and dedication to delivering high-quality service.

Unsustainable Business Practice:

Lastly, let's not forget the sustainability aspect of our business. Constantly undercutting competitors is a practice that is as unstable as a house of cards. To stay in business and flourish, you need to cover your operational costs and make a reasonable profit. A pricing strategy that revolves around out-pricing other artists is akin to walking a financial tightrope—you may end up jeopardizing your financial stability in the long run.


In conclusion, remember that setting prices is a strategic decision that should reflect your value, skills, experience, and individual business model. Instead of engaging in a price war, compete on the grounds of quality, service, and the unique value that you bring to your clients. This approach will not only help you build a sustainable business but also attract clients who appreciate the artistry and skill that goes into every SMP session.

In the SMP industry, as in any other, remember that the price is what you pay, but value is what you get. So, set your prices not by looking sideways at your competitors, but by looking inward at the unique value you offer. After all, as artists, we are our own greatest competition.

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