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Strategic pricing, profitability & positioning

Marketing for Interior Designers
Sandra Funk
Sandra Funk, House of Funk
Updated: 30 April 2025

What you’ll learn in this article:

Discover how strategic pricing can transform your design business. Learn the difference between hourly and flat-fee pricing, how to set profitable rates, attract high-value clients, and confidently communicate your worth - ensuring stability, profitability, and long-term success.

Interior design isn’t just about beautiful spaces—it’s about resonance. It’s about the frequency you hold, the standards you set and the way your business supports not just your creativity, but your life.

And the truth is: your pricing speaks volumes about who you are.

It communicates your value and the kind of clients you’re available for. It shapes your cash flow, your client relationships, your confidence. It either sets you up for spaciousness—or puts you in a cycle of overwork and under-earning.

Pricing is positioning. When you do it right, it can be one of your most powerful marketing tools.

Let’s get into how.

Strategic pricing, profitability & positioning

Price Is Positioning

I’ve spoken to many designers that undercharge because they’re afraid to turn off potential clients. But premium clients aren’t turned off by strong pricing—they’re turned on by clarity and confidence.

Your pricing tells your client what to expect. It sets the tone for the entire experience. It either says “I’m figuring this out as I go,” or “This is a refined process, led by a seasoned expert.”

This isn’t about ego. It’s about energetic alignment.

Strategic Pricing

Hourly billing keeps your clients focused on the clock (and the details)—not the transformation. I hated sending out hourly invoices, because I knew the follow up questions were about to pour in...

Flat fees change the conversation. They allow you to price based on value, not time. They make you the trusted expert, not the hourly worker.

With flat-fee pricing:

  • Clients commit fully, upfront
  • You eliminate invoice anxiety
  • The focus stays on the result, not the process

The magic formula? Use past project data. If you have it—amazing. If not—start collecting it now. The more you know, the stronger your pricing becomes.

Strategic pricing, profitability & positioning

Profitability = Power

Let me take you behind the scenes.

Way back, I got a finance degree and worked in business process consulting. I helped Fortune 500 companies become more efficient and profitable by making their systems simpler, clearer and more intuitive.

Then I pivoted—studied design at Parsons, worked in retail, trade, and boutique firms and eventually started my own design firm, House of Funk, in 2005.

And even with all that business background? I struggled.

I hated talking numbers. I negotiated too much. I second-guessed my rates. Clients found my pricing vague and I found myself constantly chasing payments.

The turning point? A high-end, repeat client told me,

“I don’t want to be nickeled and dimed.”

That stopped me in my tracks. I thought I was helping—dripping out smaller invoices to make the cost feel more palatable. But to him, it felt like endless tasks being added to his already busy life. He wanted to know, “What’s this going to cost me?” at the onset. And, he was happy to pay up front.

That’s when I realized: I was letting my feelings about money and my fear of being “expensive” get in the way of listening to my clients' needs.

It’s powerful to be able to answer the question, “What’s this going to cost me?” with clarity and confidence. It changes the game.

Affluent clients want to know the total investment up front—so they can plan, commit and feel in control. When you make this shift, you step into your role as the expert. You educate and empower your clients with the information they need to make an informed decision.

So I shifted everything:

  • 50% of the design fee due upon signing
  • The remaining 50% is due before the first design presentation
  • Product is paid for before purchasing, freight and tax too
  • Trade discounts are not passed through—because this is a business, not a coupon
Strategic pricing, profitability & positioning

Clarity Is Luxury

You can price your projects to be both abundant and beloved.

Clients want to feel empowered. They want the full picture before they say yes—not a trickle of surprise expenses as the project unfolds.

When I present a project budget, here’s what’s included:

  • Design fee
  • Furnishings budget
  • Build or renovation ballpark (if needed)
  • Tax and freight

That’s the first-class experience: Transparent. Elevated. No guesswork.

They’re hiring you to hold the whole vision—logistics, budget, timeline and transformation.

When your pricing communicates that clearly, clients relax.

Strategic pricing, profitability & positioning

Embodied Confidence = Energetic Alignment

Once you price your services for the level of transformation you deliver, here’s what shifts:

  • The right clients say yes—with enthusiasm
  • You make excellent money and have excellent relationships
  • You walk into every pitch grounded, unshakable, immovable
  • You stop negotiating, defending or justifying you fee

It’s better to find out early that they’re not aligned with your value—before you’re entangled in a project.

And if someone runs away when they see your pricing? Let them.

Your Next Move

And if this feels like the shift you've been needing, I shared more of my approach in this deep dive on designer pricing—including how to make your pricing feel empowering for you and your clients.

✨ Price for clarity.

✨ Price for peace.

✨ Price for the version of you that’s already arrived.

  • Interior Design
Reading: Strategic Pricing, Profitability & Positioning, Marketing for Interior Designers
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