Why Your Pricing Is Holding You Back And How to Fix It

With Behavioral Economist Etinosa Agbonlahor | Hosted by Women in Tech & Entrepreneurship

What if the biggest barrier to your business growth… was the number you put on your invoice?

In this insightful workshop hosted by Women in Tech & Entrepreneurship (WTE), behavioral economist Etinosa Agbonlahor, founder of Decision Alpha, leads a deep dive into the psychology of pricing—and how it can make or break a growing business.

Drawing from years of experience working with founders, consultants, and scaling teams, Etinosa introduces an actionable framework for transforming pricing from a guessing game into a growth strategy.

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🎥 On YouTube: Why Your Pricing Is Holding You Back + How to Fix It

Why Pricing Feels So Hard — for Women Entrepreneurs Especially

The workshop opens with a moment of honesty: when asked how they feel about pricing, attendees said things like:

• “Dread.”
• “Anxiety.”
• “Guessing what people will pay.”
• “Undervaluing.”

If this sounds familiar, you’re not alone—and you’re not imagining it. Etinosa explains that pricing is a high-stakes psychological act. It requires founders to:

• Assign monetary value to their time, skills, and impact
• Communicate confidence (even when they're still figuring it out)
• Face the possibility of rejection — or worse, undercharging and still not converting

Etinosa’s message: Your feelings around pricing are valid. But they don’t have to hold you back.

Pricing Isn’t About Math — It’s About Perception

Price is relative, not fixed.

Etinosa illustrates this through a simple exercise: attendees are shown the same vase in two different environments (a discount retailer vs. a high end boutique). Suddenly, the same object seems worth $30… or $600.

This isn’t just perception — it’s science. Using the Ebbinghaus illusion, Etinosa shows that our brains judge value by context, not absolutes. This is why your price must be designed to tell a story about quality, transformation, and belonging—not just affordability.

“Your pricing tells your customer: You are in the right place.”

Three Psychological Biases That Undermine Pricing Decisions

1. Self-Assessment Bias

You evaluate your flaws more harshly than outsiders, using perfection as a benchmark. Your customers don’t. Founders often discount the true value of their offer because they’re focused on what isn’t perfect — but customers care about results, not perfection.

2. Fear of Backlash

Raising your prices? You might feel like you’re inviting criticism. Etinosa warns against soft-pedaling price increases with complex structures or long-winded justifications. Clear, confident communication is key.

3. The Spotlight Effect

You think customers are watching every pricing move. In reality, most don’t remember what they paid last time. A study Etinosa cites found that most shoppers couldn’t recall the price of the item they just picked up. You have more room to adjust than you think.

The Pricing Edge Framework

At the heart of the workshop is The Pricing Edge Framework—a four-step model rooted in behavioral economics to help founders build sustainable, flexible pricing strategies.

Step 1: Map Your Monetization Zones

What are the real jobs to be done that your customers are hiring you to solve?

Example: Anna, a professional dancer, offers:

• Technique coaching for other dancers (focus: performance)
• Embodiment coaching for executives (focus: confidence, executive presence)

Same skillset—different jobs. Different value. Different price.

Etinosa guides attendees to break down each customer journey: before, during, and after using your service. What are they trying to achieve? What outcome would make them say, “This was worth every penny”?

Step 2: Quantify Willingness to Pay

Talk to your customers. Ask:

• What feels too cheap to be trustworthy?
• What feels too expensive to be justifiable?
• What feels like a great value?

This creates a range — a “zone of acceptable pricing” — from which to select your actual offer price.

Tip: Don’t just guess. Do the research. Ask past clients. Mystery shop your competitors. Use this data to back your decision.

Step 3: Frame Your Prices for Conversion

People don’t make decisions in a vacuum. Etinosa explains two powerful framing tactics:

• Compromise Effect: When given three options, people tend to pick the middle one. This is why your mid-tier offer often converts best.
• Decoy Effect: Introduce a less desirable, similarly priced option to make your intended offer more attractive.

Framing helps customers feel good about the price—not trick them, but support them in making a confident decision.

Step 4: Test, Refine, and Scale

Pricing isn’t one-and-done. It’s iterative. Build in regular reviews of your pricing strategy to keep it aligned with the value you’re delivering.

Founder Questions, Real-Time Coaching

Throughout the session, founders raised powerful real-world questions:

• “How do I price when I’m just starting?”
  Etinosa suggests talking to ideal customers about what they currently pay—and what they wish they were getting for that price.
  
  
• “My customers are budget-constrained—how do I raise prices?”
  Differentiate through outcomes. When people see real transformation, they’ll find the budget or reprioritize.
  
  
• “What if I have post-project scope creep?”
  Introduce a retainer tier. Make follow-up support a paid, expected part of your structure.
  
  
• “I work with schools—how do I price when the user and budget holder aren’t the same?”
  Always consider the decision-maker’s priorities. They hold the budget. Frame value in their language, not just the end user’s.
  
  

What About Ethics?

One participant raised a great point: “Aren’t pricing tactics manipulative?”

Etinosa's response: Intent matters. If your goal is to steer customers toward what’s most useful and valuable to them — without deception — then it’s about clarity, not manipulation. You’re making it easier for people to make a decision that serves them.

Final Takeaways

• Your pricing is not a reflection of your worth—but it does shape how people value your offer.
• Most people are more comfortable with higher prices than you think—if the value is clear.
• Price is a signal. Use it to attract the right customers, not just more customers.
• Confident pricing is a form of leadership.
  
  

About Etinosa Agbonlahor & Decision Alpha

Etinosa Agbonlahor is a behavioral economist and founder of Decision Alpha, where they help growth-stage companies design smart, scalable pricing strategies. With a background in psychology, strategy, and customer experience, Etinosa is trusted by founders who are ready to charge what their work is worth — without second-guessing every number.

Connect with Etinosa Agbonlahor and Decision Alpha
Access the Pricing Edge Report and toolkit

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