Good-Better-Best Pricing: How to Increase Your Average Ticket by 40%

Why Good-Better-Best Works

Have you ever walked into a coffee shop and noticed they offer small, medium, and large sizes? Or seen a car dealership with base, mid-tier, and premium packages? This isn't by accident—it's psychology at work.

Good-Better-Best pricing (also called tiered pricing) gives customers options instead of a simple yes-or-no decision. And when customers have options, something interesting happens: most choose the middle option, and many choose the premium.

The Psychology Behind Tiered Pricing

When you present a single price, customers think: "Do I want this or not?"

When you present three options, they think: "Which one do I want?"

This subtle shift changes the entire dynamic of the conversation. You're no longer defending your price—you're helping them choose the right solution.

Real Results from Real Contractors

We surveyed 200+ contractors using EstimateBuilderPro's Good-Better-Best feature. Here's what we found:

| Metric | Before Tiers | After Tiers | Change | |--------|-------------|-------------|--------| | Average Ticket | $2,400 | $3,360 | +40% | | Close Rate | 45% | 52% | +16% | | Premium Selection | N/A | 28% | — |

Case Study: Martinez HVAC

Carlos Martinez, owner of Martinez HVAC in Phoenix, was skeptical at first.

"I thought customers would just pick the cheapest option every time. Boy, was I wrong. Last month, 35% of my customers chose the premium package. That's an extra $12,000 I would have left on the table."

How to Structure Your Tiers

The Good Option (Entry Level)

• Includes the basic service requested
• Uses standard materials
• Standard warranty
• Price: Your normal rate

The Better Option (Most Popular)

• Everything in Good, plus...
• Upgraded materials
• Extended warranty
• Additional value-adds
• Price: 25-40% higher than Good

The Best Option (Premium)

• Everything in Better, plus...
• Top-tier materials
• Longest warranty
• Premium add-ons (smart features, etc.)
• Price: 50-75% higher than Good

Example: Water Heater Replacement

Let's say a customer needs a 50-gallon water heater replaced. Here's how you might structure it:

Good - $1,800

• Standard 50-gal water heater
• Basic installation
• 6-year warranty
• Same-day service

Better - $2,400 ⭐ Most Popular

• Energy-efficient model (saves $200/year)
• Premium installation with expansion tank
• 10-year warranty
• Same-day service
• Free annual inspection for 2 years

Best - $3,200

• Hybrid heat pump water heater (saves $400/year)
• Premium installation with smart controls
• 12-year warranty
• Same-day service
• Free maintenance for 5 years
• Smart home integration

Tips for Presenting Options

1. Always present Better first - Start with the middle option, which becomes their mental anchor.

2. Highlight the value, not just features - "Saves $200/year on energy" is better than "high-efficiency model."

3. Use visual presentation - Show all three options side by side with clear differences.

4. Don't apologize for premium pricing - Customers who want quality will pay for it.

5. Train your team - Everyone should be comfortable presenting and explaining all tiers.

Common Objections (And How to Handle Them)

"Why would anyone pay more?" Some customers value quality, warranty, and peace of mind over the lowest price. You're leaving money on the table by not offering them a premium option.

"Won't this confuse customers?" Actually, it simplifies their decision. Instead of comparing you to competitors, they're comparing your options to each other.

"I don't have premium options to offer." Every service can be tiered. Better materials, longer warranties, faster service, additional inspections—there's always a way to add value.

Getting Started with EstimateBuilderPro

Our Good-Better-Best feature makes tiered pricing easy:

1. Create your base estimate
2. Click "Generate Tiers"
3. Our AI suggests Better and Best upgrades
4. Customize as needed
5. Send a professional proposal with all three options

Customers see a clean comparison and can select their preferred tier right from the estimate.

Key Takeaways

• Tiered pricing increases average ticket by 25-40%
• Most customers choose the middle option
• 25-35% will choose premium when given the option
• Focus on value, not just features
• Present options confidently

Ready to increase your average ticket? Start your free trial and try Good-Better-Best pricing on your next estimate.