The pricing battle every tradie fights (and how to finally win) – part II

For many builders, the hardest part of the job isn’t being on the tools – it’s being on the computer. Pricing is a vital part of running a business, but it’s often something many business owners struggle with. In the second article of this two-part series, the Next Level Tradie shares how you can finally win your pricing battle

In the first part of this series, I talked about some common pricing mistakes and how to fix them. From pricing against your competitors, to guesstimating labour hours and the silent profit killer.

This article covers the final three mistakes and gives practical solutions to fixing them so you can win back lost profit and regain control over your pricing.

Mistake #5: Not tracking costs and profit of previous jobs (back costing)

If you don’t review jobs once they’re finished, you’re essentially quoting blind.

You might feel busy and assume you’re “making money”… but without back costing, you don’t know which jobs were profitable and which weren’t.

The real challenge?

If you never compare estimated vs. actual labour hours, materials used, delays, variations charged, or missed, you’ll likely repeat the same underquoting pattern next time.

Here’s what works better:

1. Track materials and labour against your original estimates. Then check the profit and gross margin for each job against the quote.
2. Try to do this with every job, or at least all the big ones. You can track it in a spreadsheet or job-tracking software such as Tradify, Simpro, Buildaprice, BuildXact, or Fergus.
3. Make notes on any jobs that fall below your target margins and what you’d do differently next time.

This is how your pricing gets sharper – no more guesswork.

Mistake #6: Pricing the same for all clients and all jobs

Charging the same rate across the board feels simple … but it can quietly work against you.

Easy jobs with great clients run smoothly: good access, quick decisions, minimal changes. You get in and out.

Challenging jobs are the opposite: tricky sites, tight deadlines, lots of back-and-forth, scope creep, and a higher risk of rework or disputes.

If both jobs are priced the same, your best clients end up subsidising the worst ones.

Here’s what works better:

1. Consider pricing based on difficulty, risk, and client behaviour, not just trade and hours.
2. Set a base price for standard work, then apply clear loadings when the job will soak up extra time or create risk: awkward access, unknown conditions, high-spec finish, rushed timeframe, coordination headaches, after-hours, or a client who’s already signalling they might be high-maintenance.

A simple way is to create a “job grade” system (A/B/C) :

• A jobs: smooth + low risk → standard margin
• B jobs: some complexity → higher margin
• C jobs: high risk or time-wasters → highest margin (or consider declining the job)

That way, you’re not subsidising the hard stuff; you’re getting fairly compensated for it.

Mistake #7: Pricing on emotion instead of the numbers

This one’s really common, and tradies find it the hardest.

You get uncomfortable when you’re doing the quote. You feel bad charging “too much”. You worry they’ll say no or can’t afford it, so you drop the price.

Other times, you price too high because you remember a job that went wrong, which clouds your judgment.

Either way, pricing becomes inconsistent, profits become unpredictable, and you start taking on the wrong jobs at the wrong rates.

Here’s what works better:

1. Let the numbers guide you, not your emotions.
2. Know your target margin and aim for it on every job. If you’re tempted to discount, check how that fits with your target margin. Too low, don’t do it.

When your pricing system is solid, you will have confidence in your pricing. You’re not “guessing what feels right”; you’re quoting to protect profit and run a more predictable business.

The bottom line (and what happens next)

If you’ve recognised yourself in a few of these mistakes, you’re not alone.

I’ve worked with hundreds of tradies who were making these exact same errors. Good people. Skilled workers. Just pricing themselves into a corner without realising it.

The more consistent and predictable your business is, the easier it is to run and the better results you’ll get. Pricing is a key part of that.

And look, I get it. You didn’t get into the trades to spend all day on a computer. You got into it because you’re good at your trade and want to make a difference.

But here’s the reality: if your pricing isn’t working for you, everything else gets way harder.

You can be the best tradie around, have a great reputation, work long hours… and still struggle financially.

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Ready to get your pricing right?

I work one-on-one with tradies and construction business owners to build pricing systems that actually work and give them the profits they want. We’ll go through your numbers, your margins, and your pricing structure together so you can quote with confidence, win the right jobs, and get paid what you’re worth.

Book a free pricing Strategy Session with me at nextleveltradie.co.nz/nextstep