Why Hourly Pricing Can Harm Service Providers, According to Patricia Wooster

P

Patricia Wooster

LinkedIn Author

Helping experts monetize what they know → The Unignorable Business Studio · AUTHORity Book Coaching · Bestselling author (3x Simon & Schuster).

In a recent LinkedIn post, Patricia Wooster argues that traditional hourly pricing models can be detrimental to service providers, particularly as they enhance their skills and efficiency. Wooster contends that the very act of becoming better at one’s job can lead to being “penalized” under an hourly system.

The Flaws in Hourly Billing

Wooster illustrates this point with a practical example involving the hiring of an Online Business Manager (OBM). When an OBM was asked about the number of hours needed for a task, Wooster suggested this was the wrong question to ask. Instead, the focus should shift to the desired outcome.

“Do I care if it takes her 1, 5, or 10 hours to solve my problem? Only if I’m paying hourly.”

According to Wooster, the client benefits disproportionately as the service provider becomes more efficient. As the OBM improves, she delivers more solutions for the same amount of money, which is a “great deal for me” (the client), but “not so much for her” (the service provider).

Shifting the Focus to Value

Wooster advocates for a pricing structure that is fundamentally tied to the value delivered and the scope of the problem being solved, rather than the time spent. This approach ensures that service providers are rewarded for their expertise and efficiency, not penalized by it.

The Problem-Solving Approach

The core of Wooster’s argument is that clients should be concerned with the resolution of their business needs, not the granular details of how many hours it takes to achieve that resolution. As she puts it:

“The pricing should be based on the size of the problem being solved.”

This perspective encourages a shift from a time-based transaction to a value-based partnership. Wooster believes that this is a more equitable and sustainable model for both parties involved in a service-based engagement.

Wooster’s Solution: Business Studio Field Guide

Patricia Wooster highlights that addressing this pricing dilemma is a key focus within her Business Studio. To assist others in adopting a more value-centric approach, her team has developed a field guide designed to help businesses transition away from hourly rates.

“We created a field guide to help you get started. All value. No fluff.”

Wooster emphasizes that this resource is freely available, offering practical guidance without unnecessary jargon. The aim is to empower service providers to implement pricing strategies that better reflect the true value of their work and expertise.

📝 About This Content

This article is based on insights shared by Patricia Wooster on LinkedIn.

📅 Originally posted on July 21, 2026 | View original post on LinkedIn →