The lowdown:
Most contractors build a pricebook once — then never touch it again. Or worse, they build it wrong and wonder why margins are thin, jobs go out underquoted, or techs constantly override pricing in the field.

A well-built pricebook isn’t just a list of services — it’s a sales engine.
Done right, it gives your team consistency, drives average ticket size, protects your margins, and becomes the operational core of your business.

Start with the End in Mind

Before you enter a single line item, get clear on your pricing philosophy.

Flat Rate vs. Time & Material
Flat rate pricing is what most top-performing companies use. It simplifies selling, builds in overhead, and keeps things predictable for customers. Time and material might still work for specialized or commercial service, but it’s rarely scalable for residential trades.

Know Your Numbers
If you don’t know your hourly rate or break-even cost per truck, you’re guessing. Calculate:

• True labor burden (wages + taxes + benefits)

• Overhead per tech or per truck

• Target gross margin per job

From there, you can reverse-engineer your pricing — and know it works.

Decide How Your Team Sells
Are your techs selling after a diagnostic? Do you present three package options every time? Are you bundling value-adds like warranties, upgrades, or memberships?

Your pricebook should support that selling style — not fight it.

Structure First, Services Second

One of the biggest mistakes contractors make is treating the pricebook like a brain dump. Don’t.

Start with Categories
Think like your customer and your team. At minimum, every pricebook should be structured around:

• Install (e.g. system replacements, fixture installs)

• Repair (e.g. AC capacitor, roof leak, leaky valve)

• Maintenance (e.g. tune-ups, flushes, inspections)

Create a Naming Convention (and Stick to It)
Example:
2x4-8FT Lumber — [Width]x[Height]-[Length]FT Lumber
or
AC Tune-Up – Standard vs. AC Tune-Up – Premium

This saves time when searching, reduces duplication, and helps your techs quote faster.

Only Add Services You Can Fully Define
Don’t add vague placeholders. Every item in your pricebook should have:

• A clear task type (Install, Repair, etc.)

• Assigned materials (or kits)

• Labor time (standard and after-hours if needed)

• Calculated price (based on your margin targets)

Markup with Intention

Markup is where margin lives or dies — and inconsistency here crushes profitability.

Set Defaults for Labor, Parts, and Equipment
Example:

• Labor: 2.5x base rate

• Parts: 3x COGS

• Equipment: 1.4x or adjusted based on competitor pricing

Build in enough markup to cover discounts, callbacks, and seasonal slowdowns.

Use Blended Rates When Necessary
Install jobs with a mix of apprentice and journeyman labor? Set a blended labor rate across the job instead of pricing each role separately. Same goes for materials used across multiple SKUs — build packages that reflect true averages.

Plan for Premiums
If a job is after-hours, emergency, or involves special equipment, price it that way — automatically.
Example:

“Base labor = $125/hr
After-hours = $250/hr
Emergency same-day = $300/hr”

Let your pricebook do the math so your techs don’t have to.

Tiered Packages Sell More

One of the easiest ways to grow your average ticket without pressuring customers? Offer clear, tiered packages.

Good / Better / Best works — because people want to choose.

Instead of quoting just one service, build:

• Good: bare minimum to solve the problem

• Better: includes performance or longevity upgrades

• Best: includes upgrades, warranty, memberships, or enhanced service

Pre-bundle the upgrades
Examples:

• Roofing: upgraded underlayment, enhanced flashing, extended warranty

• HVAC: better filter, upgraded thermostat, system flush

• Plumbing: premium faucet, water filtration, service agreement

Presentation matters
Tools like Proposal Builder in ServiceTitan or visual quote platforms help techs show the value — not just list prices.

Customers will often choose the middle or top package when it’s framed correctly. And your team doesn’t have to reinvent it every time — just select and send.

Keep Your Pricebook Clean

A bloated pricebook is a dead pricebook.

Here’s how to keep it usable:

• No duplicate services
  If “Water Heater Flush – Standard” and “Standard Water Heater Flush” both exist, you’ve already lost the tech. Merge and delete.

• No unassigned material SKUs
  Every service should either pull a kit or reference materials. Otherwise, you’ll be undercharging.

• Archive what you don’t sell
  If it hasn’t been quoted in 6+ months and isn’t essential, archive it. A lean pricebook is easier to maintain — and easier to train.

Train Your Team to Use It

Even the best-built pricebook will fail without buy-in from the field.

Techs need to understand:

• What’s included in each service

• Why pricing is what it is

• How to confidently quote without fear of overcharging

CSRs need to know:

• Which services can be quoted over the phone

• What’s included when customers ask

• How to upsell memberships or bundled add-ons

Sales teams need to:

• Present options, not just the minimum

• Leverage Proposal Builder or visuals

• Understand pricing logic well enough to speak with authority

Pro tip: Create a Quick Reference Sheet (QRS) with your most common services, key options, and talking points.

The Bottom Line

Your pricebook shouldn’t be a list — it should be a system.

A system that:

• Drives consistency

• Protects your margins

• Gives your team confidence

• Makes you more money on every call

When your pricebook is aligned with your tech stack, your selling process, and your team’s training — you don’t just quote faster, you win more.