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What to Do When You're Competing on Price — And Shouldn’t Be
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Chapter 1
Understanding the Pressure to Compete on Price
Will, EnableUs Community
Alright, welcome back to the EnableUs Community Podcast, everyone. Will here, and as always, I’m joined by Winter. Today we’re diving into a topic that, honestly, comes up in nearly every provider conversation I’ve had lately—competing on price. Winter, you remember that first time you had to negotiate with a participant who was, like, laser-focused on getting the lowest possible rate?
Winter, EnableUs Community
Oh, absolutely. I’ll never forget it. I was so new, and I thought, “If I don’t match this other provider’s price, I’ll lose the client.” The participant’s family kept saying, “Well, so-and-so charges less, why can’t you?” And I just froze. I didn’t know how to explain that lower cost doesn’t always mean better value, especially in the NDIS world.
Will, EnableUs Community
Yeah, and it’s such a common trap, right? Especially in those saturated markets—urban areas where there’s just heaps of providers. It’s easy to feel like you’ve gotta drop your price just to get a look-in. But the thing is, the NDIS sets price caps, not fixed rates. That’s something a lot of people miss. You can charge up to the cap, or less if it fits your model, but you’re not required to go as low as possible.
Winter, EnableUs Community
Exactly. The caps are there to make sure things are fair and consistent, not to start a bidding war. But I get why people feel pressured—participants sometimes think cheaper means better value, and new providers especially, they’ll undercut just to get started. But it’s not sustainable, and it doesn’t actually help anyone in the long run.
Will, EnableUs Community
Yeah, and as we’ve talked about in earlier episodes, like when we covered pricing communication, it’s all about setting expectations and being transparent. But, look, I get it—there’s that fear of being “too expensive” and losing out. It’s a tough spot.
Winter, EnableUs Community
It really is. But the reality is, competing on price alone just isn’t the answer. There’s a lot more at stake than just getting a client through the door.
Chapter 2
The Hidden Costs of Undercutting
Winter, EnableUs Community
So, let’s talk about what actually happens when you start undercutting. I’ve seen it firsthand—a therapy provider I worked with slashed their rates to attract more clients, and at first, it looked like it was working. But then, suddenly, they couldn’t afford to send staff to training anymore. The quality of care dropped, and clients started noticing. It was a mess.
Will, EnableUs Community
Yeah, and that’s the thing—when you lower your price, you’re not just making less money. You’re sending a message, whether you mean to or not, that your service isn’t worth as much. Years of training, all that experience, it gets overshadowed by a discount. And then you’ve got less margin to invest in things like supervision, new tools, or even just keeping your staff happy and upskilled.
Winter, EnableUs Community
And the clients you attract when you’re the cheapest? They’re usually the first to leave when someone else offers a better deal. It’s just this constant churn—unstable caseloads, high turnover, and honestly, it’s exhausting. Plus, if you’re always operating on razor-thin margins, there’s that temptation to, you know, maybe overclaim a bit on non-face-to-face time or cut corners elsewhere. That’s a compliance risk, and it’s just not worth it.
Will, EnableUs Community
Yeah, and we’ve talked about compliance a lot on this show—like in our episode on claiming correctly. It’s so easy to get caught out if you’re trying to make up for lost revenue by pushing the boundaries. But here’s the thing: most participants, when you really ask them, they care way more about consistency and outcomes than just saving a few bucks. They want someone who understands their needs, communicates well, and actually delivers on what they promise.
Winter, EnableUs Community
Exactly. And a lot of the time, when participants go for the cheaper option, it’s because they don’t actually know what’s included in your price, or what your qualifications are, or how much value you’re bringing. It’s a communication gap, not a value gap.
Chapter 3
Building a Brand Around Quality and Value
Will, EnableUs Community
So, if price isn’t the battleground, what is? It’s all about building your brand around quality and value. I’ve seen providers really turn things around by focusing on what makes them different—like highlighting their qualifications, sharing real client outcomes, and being super transparent about what’s included in their fees. One provider I know started working closely with plan managers and support coordinators, sharing testimonials and feedback, and suddenly they weren’t just another name in the directory—they were the go-to for reliable, high-quality support.
Winter, EnableUs Community
That’s such a good point. And transparency is huge. From the very first conversation, explain your pricing structure—what’s included, why your rates are what they are, and how that supports ethical, sustainable practice. I’ve found that when you lay it all out, people get it. They see that they’re investing in quality, not just paying for hours.
Will, EnableUs Community
Yeah, and don’t underestimate the power of a clear service agreement. I had a client who was always shopping around, never really settled. Once we put everything in writing—what they’d get, how we’d communicate, even how we’d handle emergencies—they stuck around. It just gave them that sense of security, you know?
Winter, EnableUs Community
Absolutely. And don’t forget about social proof—testimonials, success stories, even just positive feedback from participants. People trust what others say about you way more than what you say about yourself. And if you can show that you’re easy to work with, especially for plan managers and support coordinators, that’s a massive plus.
Will, EnableUs Community
So, to wrap up—competing on price might get you a quick win, but it’s not the path to long-term success. Focus on quality, communication, and building real relationships. That’s how you create a sustainable, impactful business in the NDIS space.
Winter, EnableUs Community
Couldn’t agree more. And if you’re not sure where to start, go back and listen to our earlier episodes on pricing communication and service agreements. There’s heaps of practical tips in there. Thanks for tuning in, everyone!
Will, EnableUs Community
Yeah, thanks heaps for joining us. We’ll be back soon with more ways to help you get the most out of the NDIS. Take care, Winter!
Winter, EnableUs Community
See you next time, Will. Bye everyone!
