Why Modular Home Companies Need To Address Pricing On Their Websites (Incl. Examples)

As a consumer, what is the first thing you research when you want to buy something online? Cost and price, right? And, as a searcher, what do you do if you don't find pricing information on a website? You move on. Right?

Over the past 12 years, I have helped dozens of companies transform their businesses by marketing in a transparent, honest, and educational way. I have seen firsthand the impact that explaining cost and price has had on lead generation, sales cycle length, and revenue.

In this blog post, I will discuss the most common concerns about why businesses aren't putting their pricing on their websites. I will explain why you need to define pricing and will provide tips on how to do it safely — even if the answer is "it depends." Finally, I will share some examples of effective pricing pages.

Today's Buyers Complete 80% Of The Decision-Making Process Before Contacting A Salesperson

The topic of pricing on websites is contentious, I know. But it is absolutely critical that you add detailed and helpful information about cost and price on your website.

And here is why: As buyers, there are a few things we always research before purchasing something: how much does something cost, how does this compare to that, what does "the best" look like, what are potential problems we could run into, and what do other people say about this.

In fact, we are obsessed with researching these five things.

As we research vendors, we go to their websites looking for pricing. Usually, if we can't find it in a matter of seconds, we move on, and we keep going until we find the answer. Two important things happen here:

1. Today's buyers feel distrust by default. Not finding pricing will only increase that feeling because consumers know that the company knows how much something costs and, therefore, they feel that the company is hiding this information from them.
2. The company that explains the pricing in a helpful manner, increases trust and will usually get the first phone call, if not our business.

Image: Screenshot of Google search results when entering "modular home."

You Need To Address Pricing Transparently, Honestly, and Openly

When it comes to buying a prefab or modular home, transparency and honesty are key. Potential customers want to know exactly what costs there are that they need to factor in, as they don't want to be surprised by any hidden fees or charges.

Being upfront about pricing helps you build trust with potential customers. When customers see that you're being transparent about your pricing, they're more likely to believe that you are a trustworthy company. This can lead to increased sales, referrals, and maybe even repeat business.

In addition, transparency can help you stand out from your competitors. Many modular home companies are hesitant to discuss pricing openly, so by being upfront about your pricing, you can set yourself apart from the competition. This can give you a competitive advantage and help you attract more customers.

Finally, honest pricing can help you attract the right customers for your business. When you are upfront about your pricing, you are more likely to attract customers who are serious about buying a modular home and who can afford your prices. This can help you avoid wasting time and money on unqualified leads.

Top 3 Reasons Why Companies Hesitate To Put Pricing On Their Website

Ironically, as businesses, we tend to shy away from publicly discussing pricing. When I speak to CEOs or salespeople, there are almost always three reasons why companies don't want to discuss their pricing:

1. We don't want our competitors to know our pricing. Do you know, on average, what your competitors are charging? Almost all companies do. So, consequently, your competitors most likely know what you charge as well. It is a non-secret secret.
   
   
2. We are going to scare people away (sticker shock). A lot of companies struggle with this one. They feel that if they can just buy themselves enough time to explain their value (a.k.a. deliver the generic sales pitch), the buyer won't be shocked by the price and run for the hills. But we established above the fact that if you are NOT sharing your pricing, prospective buyers will distrust you and go to your competition. Besides, sharing your pricing will weed out all the energy- and time-wasting dreamers who don't have the budget. Win-win.
   
   
3. Our pricing depends on too many factors. This is probably the most prevailing reason why prefab or modular companies aren't effectively addressing pricing on their websites. However, even if you cannot give an exact dollar and cents amount, you should still explain your pricing.

Let's have a look at how you can discuss your pricing — even if it depends on a lot of factors.

How To Address Pricing On Your Website Even If The Answer Is "It Depends"

Unless you are selling a tiny, prefab house kit with very few options, you will most likely have no list prices, and the exact cost of a modular home depends on many different factors. Here are some tips on how to create a pricing page worth publishing:

Provide A General Price Range

Even if you can't give an exact price, providing a price range can help potential customers understand the affordability of your homes. For most companies, this will mean giving a price per square foot or meter. However, this will require an explanation of exactly what is and what is not included.

While this information is helpful, for most home buyers starting out, putting things into perspective is more helpful. For example, you might say, "Our homes range from $100,000 and can go up to $500,000, depending on the size, features, and finishes you choose." Then, give examples of what you can get for the starter price, mid-range, and top-of-the-line models.

Explain What Factors Influence The Price & What Makes The Price Go Up Or Down

Be sure to explain that the cost of a modular home will vary based on several factors. To help potential customers understand why the cost of a modular home can vary, list the factors that affect pricing on your website. You might say, "The cost of a modular home can be affected by a number of factors, including:

• Square footage
• Number of bedrooms and bathrooms
• Finishes you choose
• Distance from our manufacturing location
• ...

Be sure not to just list the factors, but explain how they impact the pricing. For example, some vendors will give the shipping cost per mile/kilometer. Others will give a percentage of the modular price for the construction of the home, etc. Be as specific as you can be.

Explain What The Industry Range Is & Where You Fall

Buyers want to understand this. In my recent podcast interview, Dave Owens, the Director of Revenue of RoofCrafters Roofing, mentioned how it is not uncommon for buyers to have 15 or 16 cost estimates in front of them because they want to understand what the value is. They are trying to understand what a cheap versus an expensive roof is, and what their budget can buy them.

Going over the average industry prices gives your buyers a better understanding of the general value. Explaining where you fall on that range gives them a better understanding of your value. For example, if you are more in the top of the price range, show them why. Give your buyers all the information honestly and transparently so they can make the right choice for themselves.

Pricing Page Dos & Don'ts

There are some great examples of pricing pages out there — and some really horrible ones. When it comes to creating a pricing page for your modular home company, there are a few key things you should keep in mind. Here are some dos and don'ts to help you get started:

Pricing Page Dos

• Be transparent about all costs. This means including the base price of the home, as well as any additional costs for things like delivery, installation, and site preparation. Don't try to hide any fees or charges — potential customers will find out about them eventually, and they'll be more likely to be turned off by your lack of transparency.
  
  
• Offer an in-depth pricing calculator. This allows potential customers to get a more accurate estimate of the total cost of their home. The calculator should include all of the different options and upgrades that are available, so that customers can see exactly how their choices will affect the price.
  
  
• Provide a modular home pricing guide. This guide should explain the different factors that affect the cost of a modular home, such as the size, style, and features of the home. It should also provide information on financing and other payment options.
  
  
• Don't be afraid to say, "It depends." The cost of a modular home can vary depending on a number of factors, so it's important to be upfront about this with potential customers. Don't try to give them a single, fixed price. Instead, explain that the cost will vary depending on their specific needs and wants.

Pricing Page Don'ts

• Don't ever bait and switch. Don't make your visitors believe they are going to get detailed pricing information if all you will give them is a "Request a Quote" form. That is not only a surefire way of making your buyers more frustrated (the F-word of the internet) but also diminishes any trust you might have built.
  
  
• Don't use confusing or misleading language. Your pricing page should be easy to understand, even for people who aren't familiar with the modular home industry. Avoid using jargon or technical terms that potential customers might not be familiar with.

By following these dos and don'ts, you can create a pricing page that is informative, transparent, and easy to use. This will help you build trust with potential customers and attract the right customers for your business.

Examples Of Pricing Pages

While I haven't found a single modular or prefab house manufacturer's website with a sufficiently detailed pricing page (clearly, this is a HUGE opportunity here to be the first), there are examples of pricing pages that provide at least some information about the cost of a modular home. Customers can get an idea of the pricing structure and what is included in the price.

Next Modular

One of the most comprehensive explanations of additional costs on top of the modular price of the house comes from Next Modular. Buyers interested in a modular home can choose the floor plan they prefer, which lists a starting price. On top of that, they need to understand the factors that will increase the price, e.g., shipping, foundation, basement, HVAC, and much more. The article goes into great detail explaining each element.

In addition, Next Modular adds cost information where needed, e.g., on their page explaining their Turnkey process.

Method Homes

Another good example of a pricing page is that of Method Homes. While it doesn't go into as much detail as Next Modular, it provides a cost structure and does answer a lot of the commonly asked questions. Please note: I placed parts of the screenshot side-by-side to give you the full page, but reduce scrolling.

Here is the FAQ section of the page side-by-side.

Stillwater Dwellings

Stillwater Dwelling's pricing page explains the cost per square footage and lists what is included. As part of the process lower down, the company explains that, as a customer, you need to estimate about $275-$375 per square foot as a base cost for the home (incl. transport, etc.) as well as contractor costs of $375 to $525 per square foot.

I would suggest separating the pricing from the process information unless you are really going to map out what needs to be paid and when.

New England Design & Construction's Pricing Guide

While NEDC isn't offering prefab or modular homes, their pricing guide is worth mentioning. While I am always for discussing pricing publicly rather than in a gated form, this pricing guide is packed with detailed and helpful information about the average price ranges as well as examples of projects so customers can get a realistic idea of what a certain project costs.

This resource has been invaluable to the company in building trust with their buyers.

These modular home companies provide effective pricing pages because they are transparent about all costs, offer an in-depth pricing calculator, and provide a modular home pricing guide. Additionally, they do not shy away from saying "it depends," they avoid using confusing or misleading language, and they make it easy for customers to contact them.

FAQs About Pricing On Your Website

Where should I put my pricing page in the navigation?

Your pricing page should be easy to find for potential customers. A good place to put it is in the main navigation menu, or in a prominent location on your homepage.

Will revealing my prices drive customers away?

No, revealing your prices will not drive customers away. In fact, it can actually help you attract more customers by building trust and transparency. Potential customers want to know what they're getting for their money, and they don't want to be surprised by any hidden fees or charges. By being upfront about your pricing, you can build trust with potential customers and make them more likely to do business with you.

How often should I update my pricing information?

Your pricing information should be up-to-date at all times. If your prices change, be sure to update your website immediately. You should also review your pricing regularly to make sure that it is still competitive.

What if I don't know the exact price of a modular home?

If you don't know the exact price of a modular home, you can provide a price range or an estimated price. Be sure to explain that the price may vary depending on a number of factors, such as the size and features of the home. You can also offer a free quote to potential customers so that they can get a more accurate price.