Good, better, best: building packages

What you will be able to do

• Design three tiers that differ on variables clients genuinely value
• Use anchoring and the middle-option effect to steer clients toward your preferred package
• Calculate average booking value from an expected package mix

When you quote a single price, the client’s question is “yes or no?”. When you offer three clear options, the question becomes “which one?”. That small change does a great deal of selling for you. Good, better, best packaging is one of the oldest tools in service marketing, and it works especially well for events, where clients are anxious about getting it wrong and grateful for a guided choice.

Read the transcript

Good, better, best: building packages.

When you quote a single price, the client's question is "yes or no?".

When you offer three clear options, the question becomes "which one?".

Why three options work.

Three tiers use two well-documented habits of human judgement.

People judge a price by comparing it with the first or largest number they see. A 7,500 dollars top tier makes a 4,200 dollars middle tier feel reasonable, even to a client who would have balked at 4,200 dollars on its own.

Build the middle first.

Start with the package you most want to sell: the one that delivers the outcome your best clients need, at a price comfortably above your floor.

That is your "better" tier.

Worked example: Lantern and Lane's wedding packages.

Priya and Marco rebuilt their wedding offer around three tiers.

Each step up adds earlier involvement and more of the work clients find stressful, not trivial extras.

Packages for other vendors.

The same structure fits every vendor type.

Photographers: hours of coverage, a second shooter, an engagement session, an album.

Presenting the packages.

How you lay out the tiers matters almost as much as what is in them.

Show the top tier first when you present in person or on a call. Hearing 7,500 dollars first sets the anchor, and the middle tier then feels like the sensible choice.

That is the lesson. The worksheet and the quiz are just below this video.

Why three options work

Three tiers use two well-documented habits of human judgement.

• Anchoring. People judge a price by comparing it with the first or largest number they see. A $7,500 top tier makes a $4,200 middle tier feel reasonable, even to a client who would have balked at $4,200 on its own.
• The middle-option effect. When people are unsure, they avoid the extremes. The cheapest option feels risky and the most expensive feels indulgent, so many choose the middle.

Three is usually the right number. Two options become a straight price comparison. Five or more create decision fatigue, and clients who cannot decide often decide to wait. The exception is a business with genuinely different audiences, such as a venue selling both weddings and corporate meetings. Give each audience its own set of three rather than one long menu.

Build the middle first

Start with the package you most want to sell: the one that delivers the outcome your best clients need, at a price comfortably above your floor. That is your “better” tier. Then build the other two around it.

1. Better (the target). Everything your ideal client needs for a successful event. Price it with a healthy margin.
2. Best (the anchor). More of what matters: more hours, more involvement, priority access, premium deliverables. It must be genuinely worth the price, because some clients will buy it, and you need to be glad when they do.
3. Good (the entry). A smaller, clearly limited version for clients with tighter budgets or simpler needs. It must still clear your floor and still produce work you are proud to show.

The gaps between tiers are called fences. A good fence separates tiers on something clients care about, such as how many hours you are present, how early you get involved, how many guests or deliverables are covered, or how much of the work you take off their plate. A weak fence uses things they do not care about, or that feel petty, such as charging extra for a second phone call.

Worked example: Lantern & Lane’s wedding packages

Priya and Marco rebuilt their wedding offer around three tiers.

Notice the fences. Each step up adds earlier involvement and more of the work clients find stressful, not trivial extras.

Now the arithmetic. Before, they sold mostly day-of coordination and the occasional custom quote. After one season with the new structure, suppose 30 percent of couples choose Day-of, 55 percent choose Partial and 15 percent choose Full. The average booking value is:

• 0.30 x $1,900 = $570
• 0.55 x $4,200 = $2,310
• 0.15 x $7,500 = $1,125
• Average booking value = $4,005

If they book 22 weddings, that is about $88,100 in planning fees, against $41,800 if all 22 had bought Day-of. The mix is illustrative, but the method is the one you should run on your own numbers after every season.

Packages for other vendors

The same structure fits every vendor type. The fences change.

• Photographers: hours of coverage, a second shooter, an engagement session, an album.
• DJs and bands: hours, ceremony sound, dance-floor lighting, a live musician with the DJ, a planning meeting.
• Caterers: number of courses, stations versus plated service, a late-night snack, bar service.
• Performers: length of set, strolling plus stage, a custom routine with the client’s brand or story.
• Rental and décor companies: item counts, delivery and pick-up windows, on-site styling, a design consultation.
• Venues: day of week, hours of access, included rentals and the food and beverage minimum.

Presenting the packages

How you lay out the tiers matters almost as much as what is in them.

• Show the top tier first when you present in person or on a call. Hearing $7,500 first sets the anchor, and the middle tier then feels like the sensible choice. On a web page, a three-column layout with the middle column visually highlighted does the same job.
• Lead with outcomes, then features. Under each tier name, write one line about who it is for: “For couples who have their vendors and want someone to run the day.” Clients find themselves in that line faster than in a list of inclusions.
• Label honestly. “Most popular” over the middle tier is a factual claim. Use it only when it is true of your actual bookings. “Recommended for most couples” is your opinion, and you can say it freely.
• Keep the same order everywhere: website, PDF, proposal and listing platforms.

Package design checklist

• Is the middle package the one you most want to sell, priced well above your floor?
• Would you be delighted if someone bought the top tier?
• Does the entry tier still produce work you will show in your portfolio?
• Are the fences based on hours, involvement, scope or deliverables, not trivia?
• Can a client understand the difference between tiers in under a minute?
• Are the names plain? “Partial Planning” beats “Gold” because it says what it is.
• Is everything that is mandatory included in the price shown?
• Do you have a short list of add-ons for clients who want one extra thing without moving up a tier?

Resist the urge to customize every package on request. A few add-ons are healthy. Rebuilding the tiers for each client turns packages back into custom quotes and loses the steering effect you built them for.

In Canada and the GTA

Everything mandatory belongs in the package price. Since June 23, 2022, the Competition Act has treated drip pricing as a false or misleading representation. In plain terms, a price you advertise must include every fixed fee the client cannot avoid, such as a booking, admin or service fee. Only charges imposed by law, such as HST, may be added on top. If a caterer’s package says $85 per person and every client must also pay a fixed service fee, the advertised price is not attainable. Fold mandatory fees into the package price, or make them genuinely optional. The next lesson covers the drip pricing rules in detail.

Write inclusions so they cannot be misread. Ontario’s Business Guide to consumer protection says any uncertainty in a consumer agreement is interpreted in the consumer’s favour. If your package says “décor setup” and the couple understands that to include teardown at 1 a.m., the vague wording works against you. List what is included, what is not, and what counts as an add-on. That protects you and makes the tiers easier to compare.

Variable packages and estimates. Many event packages depend on numbers that are not final when the client books, such as guest count, hours or delivery distance. Under Ontario’s Consumer Protection Act, 2002, which remains in effect until the 2023 Act is proclaimed, a business giving an estimate cannot bill a consumer more than 10 percent above the estimated price unless the consumer agrees in writing to the extra charges. If your package is priced per guest or per hour, say so clearly, confirm final numbers in writing, and get written agreement when the scope grows. Ontario’s guide to key consumer protection concepts explains the estimate rule and unfair practices. These rules protect consumers; corporate clients are governed mainly by the contract you sign with them. In either case, put the final guest count deadline and the per-guest price for late additions in the package terms, so a change in numbers never turns into an argument.

GTA practice notes

Multi-day celebrations. Many GTA weddings span two or three events, such as a mehndi or sangeet, a religious ceremony and a reception, often at different venues. A package structure that only describes “the wedding day” forces you into custom quotes. Consider tiers built around the number of events covered, with a per-event add-on for the extra days. Caterers, décor companies, DJs and photographers who serve these weddings often find this simplifies quoting more than any other change.

Corporate clients want packages they can approve. A marketing manager booking a holiday party usually has to send your quote to someone else for approval. Three clear tiers with a one-line description of each make that easier, because the approver can see what the extra money buys. Keep HST as a separate line for corporate quotes, since registered businesses usually recover it.

Season affects the mix. In the GTA, Saturdays from June to September and the weeks before the December holidays are the busiest periods for many vendors. A top tier with priority date holds or extra hours sells best for those dates. Off-peak days are better served by entry and middle tiers, sometimes with an off-peak rate, which a later lesson in this module covers.

Listing platforms favour simple packages. The Knot, WeddingWire and Zola give you limited space to describe what you sell. Plain tier names and a starting price that matches your entry tier help couples filter you in. Make sure the price on the platform matches your website exactly, including any mandatory fees, so that a couple never sees two different numbers for the same package.

Worksheet

Download the worksheet and complete it for your own business, using Lantern & Lane as the model where it helps. Keep it with your marketing plan. It takes about 10 minutes.

Download the worksheet (PDF)