The Third Party Problem
Why So Many People Expect to Pay Less
“This show is brought to you by…”
I’ve alluded to this in earlier posts, and it’s time to be more direct about it. Because for professional service providers, particularly in the arts, education, and in other passion-driven fields, this is one of the more significant, yet least talked about reasons you need to continue developing your money mindset and your sense of self worth in order to succeed in an entrepreneurial capacity.
While entrepreneurship promises freedom—setting your own rates, choosing your clients, and building a business on your terms, there’s a hidden challenge that makes pricing and selling your services much harder than many realize: most people have been conditioned to expect high-quality services at artificially low prices.
Think about it—how often do you actually pay the full cost of a product or a service?
Health insurance covers doctor visits. Employers foot the bill for trainings and pay for other discounts. Schools are paid for by our tax dollars. Grants and donors fund much of the arts. Even networking events, software, and personal development programs are often covered by someone else. And don’t get me started about all the exploitative labor and other trade-related imbalances around the world.
But the result? A culture where people often don’t experience the real price of things—and so they hesitate when they have to pay in full out of their own pocket.
The Hidden History of Pricing: Why Clients Expect More for Less
For most of human history, people paid directly or bartered for the goods and services they used. If you needed medical care, you paid the doctor. If you wanted an education, you found a tutor or enrolled in a school. If you sought entertainment, you bought a ticket or directly hired the performers. The pricing of things was more straight forward, albeith mostly only accesible to the wealthy, but the relationship between provider and consumer was direct.
But throughout the 20th century, that dynamic changed. Employers, in a bid to attract and retain workers, started covering major expenses like health insurance and other benefits. At the same time, governments expanded public funding for all levels of education, healthcare, and the arts, further shielding individuals from the full cost of essential services. What was once a straightforward transaction between buyer and seller became a complex system of third-party payments, where businesses, governments, philanthropists, and others absorbed much of the cost.
Large-scale cultural events, from music festivals to Broadway productions, have become increasingly dependent on corporate sponsorships, government grants, and private donations. Major performing arts organizations, such as symphonies, ballet companies, and theater groups, operate with budgets that rely heavily on funding from wealthy patrons, foundations, and public subsidies. Museums and galleries often offer free or low-cost admission, thanks to endowments, nonprofit status, and corporate partnerships. Even independent artists frequently receive grants, crowdfunding support, or fellowships to sustain their work.
Consider music festivals like Coachella or Lollapalooza. While ticket prices may be already high for many, they don’t reflect the true cost of production. These events are heavily subsidized by sponsors who pay to have their branding featured throughout the festival. Without those sponsors, ticket prices would be far higher—or simply more unaffordable. The same applies to symphony orchestras, which sell tickets at a fraction of what it costs to produce a performance, thanks to corporate sponsors and private donors.
The result?
Audiences have become accustomed to the idea that world-class performances and high-quality artistic experiences should be accessible at minimal cost. So when independent artists, musicians, or creative entrepreneurs try to charge what their work is truly worth, they encounter resistance—not because their work lacks value, but because too many people are rarely asked to pay the full price themselves.
This conditioning extends beyond the arts. Employers routinely cover professional development, educational courses, and wellness programs for their employees. Universities often offer workshops, networking events, and mentorship programs at no cost to students and/or faculty. Over time, people have come to expect that services designed to educate, enrich, or inspire them should be affordable, subsidized, or free.
When these same people encounter independent artists or related service providers—coaches, consultants, creatives, and small business owners—they instinctively push back on pricing. “I can’t afford it” becomes a knee-jerk response not necessarily because they don’t value the service, but because they’re not accustomed to actually paying for it themselves.
Why Service Providers Struggle to Charge What They Deserve
If you’ve ever had someone say they “can’t afford” your fees or compare your pricing to a cheaper alternative, it’s not because they don’t need your service. And it’s not always because they don’t respect you or think you’re inherently less deserving. It’s at least in part because they’ve been conditioned to expect high-quality services to cost less.
So, what happens?
Many service providers:
⚠️ Lower their prices out of fear no one will buy.
⚠️ Overwork themselves trying to justify their fees.
⚠️ Feel guilty for charging what they actually need to sustain their business.
But let’s be real—if you calculated the true cost of your time, expertise, and overhead, your rates would likely be much higher than what many clients expect. The key isn’t to lower your prices. Real success as service-based entrepreneur requires you to position yourself and your offer as an indispensable investment they feel worthy of investing in at practically any price.
Yet far too many people, including some of the most accomplished artists and educators, can be inherently fearful of doing so thanks to this race-to-the-bottom culture. So breaking free requires a huge mindset shift, strong enough to persevere no matter how many trolls on the internet try to criticize you!
The Boutique Experience: How to Break Free from the Third Party Pricing Trap
To thrive in a world where people are used to cheap or subsidized products and services, you can’t just be another run-of-the-mill service provider. You need to stand out by offering a premium experience—one that clients recognize as really worth paying for.
Here are some thoughts on how:
✅ Elevate the experience – Make working with you feel different. Personalization, VIP access, and exceptional service make clients want to invest.
✅ Showcase the full value – Help clients understand what goes into your work. They’re not just paying for time—they’re paying for expertise, transformation, and results.
✅ Shift the pricing mindset – Instead of justifying your rates, educate clients on what true quality costs and the true return-on-investment they could be receiving. Transparency builds trust and helps clients appreciate why your fees are structured the way they are.
✅ Attract the right clients – Not everyone will pay premium prices—but the right clients will. Focus on those who already invest in themselves and see the value in your work.
✅ Encourage clients to get a third party – If people are used to someone else paying, why not make that work for you? Encourage clients to seek support from other sources. It could be something an employer or a wellness plan could help cover, or there could be local grants and other funding opportunities. They may not always get everything paid, but it’s possible to get enough to take the “I can’t afford" it” excuse off the table. When in doubt, dare to encourage creativity!
✅ Start a scholarship fund – If you want to help more people who genuinely can’t afford your services, don’t lower your prices—create a system that allows for both full-paying and subsidized clients. A scholarship fund, supported by either a portion of your profits or external sponsors, ensures you can serve those in need without sacrificing your business’s financial health.
Rewrite the Money Story & Take Control of Your Pricing
The challenge isn’t just about setting higher prices—it’s about shifting the way people see you and your work.
If you’ve been struggling to charge what you deserve, it’s not because you aren’t talented enough. It’s because we’re operating in a world that has conditioned people to expect more for less. But you don’t have to actually play by those old rules.
🚀 I help entrepreneurs like you break free from under charging, charge confidently, and attract clients who are ready to invest in what you offer.
With my guidance, you will:
💡Understand and change the limiting beliefs around money holding you back.
💡Charge what your work is truly worth—without guilt or endless discounts.
💡Attract clients who see the value in working with you.
💡Position yourself as a premium provider and stand out from the “average” crowd charging average prices.
💡Build a business that pays you well—so you can serve from a place of abundance, not burnout.
If you’re ready to stop undercharging and start thriving, let’s talk.
📩 DM me and let’s shift your business for good.
