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I'm in MB and have been open for 2 years and always charged $30. When I see people charging $35, I wonder how quickly they fill their spots because I know lots think I'm expensive and when I see some charging $20 I think they are either going over the limit or are in a good financial spot to be able to offer care for that cheap.
I don't take offense when a parent questions how much I charge because I know that if I were looking for daycare that would be in my top 3 questions as well. When I buy or need a service of any kind the price is always first in my mind.
I do wonder how people charge so little but then I just have too remind myself that everyone has a different standard of living and maybe they can afford to charge that price.....and if they can't, they will learn quickly and raise their price! lol
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I can understand your frustration, and obviously rates are higher than that in your area, but I charge $25 a day for kids over 2, and $30 for kids under 2. It's not alot, but that's the going rate in my area, where there is an abundance of people offering care and the average income is quite low. If I raised my prices I'd lose my kids. Just saying, that's not that low in certain areas, and not everyone offering that is trying to cut corners.
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This makes no sense to me - why wouldn't people just charge average or a bit more to increase the average rate in your area? It hurts everyone in the business to undercut your competition.
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gravy train....I completely agree and these people who can afford to charge so little are hurting it for us who do this to make money. However, some of the people who can afford to offer it cheaper are doing so because they want to offer affordable daycare for those who need it. Their intentions are in the right place for parents but unfortunately it hurts other dcp's.
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I truly believe it's all in what you offer. I'm $5 higher than most other providers in my area and haven't had a problem getting clients. I hone in a specific type of client and cater my advertising, interviews and offerings to them. In return I have a roster of excellent clients...really excellent. Don't let those who undercut get your goat. They're going to soak up those clients we don't want. Might sound elitist, but whatever. It's a business and we're here to make money whilst doing exemplary work in our field. If someone wants to come in and take up those people only concerned about money, then good on them. Enjoy THAT client base! We had 2 providers open up locally charging $30/day. Most in our area are at $40, but some are starting to charge more. I felt some concern till I read her ad. Nope....not concerned.
Don't worry about it. Take it as an opportunity to see how to make parents see how you're worth so much more even before they call for an interview. Advertising style is everything when getting people in your door. Then you win them over with your sparkling personality and kick bum daycare set up and skills :)