Pricing Strategies for GSM Repair Workshops

2.1 Parts cost

• Price of the replacement part (screen, battery, module, etc.).
• Shipping and customs (if applicable).
• Losses from defective parts or returns.

Do not forget to include average part wastage. If 1 out of 20 screens is defective and you cannot return it, that cost must be spread across other jobs.

2.2 Labour cost

• Your own time (or employee time) spent on the repair.
• Diagnostics, communication, intake and testing – not just the “screwdriver time”.
• Admin time (invoicing, updating systems, ordering parts) for that type of job.

Decide what your target hourly rate is (for example, €25, €40 or €60). Even if you are alone, you must treat your time as a cost.

2.3 Overhead cost

• Rent, utilities, internet, insurance.
• Software subscriptions, POS, accounting fees.
• Marketing, website, domain, online ads.
• Tools and equipment (depreciation over time).

Distribute overhead into jobs

A simple method for beginners:

• Estimate your monthly overhead (e.g. €1,500).
• Estimate an average number of repairs per month (e.g. 150).
• Divide overhead by repairs (1,500 / 150 = €10 overhead per repair).

This gives you a basic overhead amount that you add on top of parts + labour for every job.

4.1 Flat price per service

You set a fixed price per type of repair (e.g. “iPhone 11 screen replacement = €120”).

• Pros: easy to understand, simple to advertise and quote.
• Cons: can be tricky when part prices change or certain jobs take much longer than expected.

4.2 Tiered pricing

You group repairs into difficulty or device tiers (e.g. “Standard”, “Premium”, “Ultra”), each with its own price level.

• Pros: flexible, easier to adjust when new models appear.
• Cons: customers may not fully understand the tiers without clear examples.

4.3 Parts + labour billing

You show customers parts and labour separately on the invoice.

• Pros: transparent, good for business clients and B2B work.
• Cons: can feel more expensive for consumers who only see the total price.

4.4 Diagnostic fee + repair fee

You charge a diagnostic fee for complex or unclear problems, and a separate fee if the customer approves the repair.

• Pros: protects your time when customers refuse the repair.
• Cons: some walk-in customers might resist paying diagnostics; you must explain it clearly.

5.1 Undercharging “because I am new”

• It is OK to offer introductory prices for friends and first clients,
• but if you always charge too little, you train your market to expect it.
• Instead of being “the cheapest”, aim to be fair and consistent.

5.2 Competing only on price

• There is always someone willing to charge less.
• If you copy the lowest price, you might end up working for almost no profit.
• Differentiate with quality, warranty, communication, speed or specialisation – not only price.

5.3 Random discounts

• Giving big discounts every time someone asks makes your prices look fake.
• Use clear rules: e.g. a small discount for regular customers or multiple devices, not for every person that negotiates.
• Instead of discounting heavily, add value (free cleaning, quick check of a second device, etc.).

5.4 Not updating prices when costs change

• Part prices and rent usually go up over time.
• Review your price list regularly (e.g. every 3–6 months).
• Track your margins using a simple spreadsheet or the profit calculator.

Be clear and confident

• Say the price calmly and confidently, as something normal for that service.
• Avoid apologising for your price – it suggests you do not believe in your own value.
• Explain briefly what is included: quality of part, warranty, testing, cleaning, etc.

Use written price lists

• Have a visible price list or at least a printed sheet / digital list.
• For models not on the list, explain that you will check part availability and confirm a price.
• Written prices reduce misunderstandings and build trust.