Pricing Psychology for Classes & Events with Custom Booking Software Baluu: How Small Tweaks Boost Bookings

When it comes to running classes, workshops, or events, your pricing strategy is about more than just covering costs. The way you set and present your class prices can be as powerful as the price itself in influencing bookings. This is where pricing psychology for classes comes in — subtle but effective tweaks that shape how customers perceive value and make decisions.

Before settling on the right price for your offers, it’s important to do some research. Researching demographic data, such as median household incomes and income trends in your target area, can help inform your pricing decisions. Look at the market, compare what competitors charge, and consider the other factors that make your offering unique — whether that’s smaller class sizes, the instructor’s experience, or the added value included in your sessions. Balancing these with your desired profit margin ensures you can attract more students while maintaining sustainable growth. Determine appropriate prices and profit margins for your classes to meet your business goals. When comparing what competitors charge, make sure to validate your course or class idea before setting prices.

In this guide, we’ll explore proven strategies like anchoring, bundles, charm pricing, and tiered pricing models. These practical ideas can help you attract customers, reduce hesitation, and increase sign-ups for everything from local workshops to online courses and online classes.

Why Pricing Psychology Matters

Customers rarely make completely rational decisions when choosing classes. Instead, their choices are shaped by perceived value, comparisons, and context. Potential customers often wonder if the class fees are worth it, or whether they should spend money on something else. Many customers also worry about whether the class is unique or valuable enough to justify the price. Pricing psychology helps address these concerns by highlighting the benefits of your service and making your offers feel like a fair price.

By using psychological principles, you can:

• Make your offers more attractive to your target audience
• Encourage people to upgrade or commit to more sessions
• Increase sales without cutting your regular price
• Build loyalty in the long run by showing students real value

With Baluu, these strategies are easy to test. The platform lets you set up bundles, seasonal discounts, and premium packages in just a few clicks, so you can experiment with different pricing structures and see what resonates best with your community.

1. Anchoring: Show Value Through Comparison

Anchoring is one of the most effective pricing techniques. Customers use the first price point they see as a reference, and everything after that feels cheaper or more expensive in comparison.

Example:

• A premium workshop package at £120 makes a standard class at £80 feel affordable.
• Without the higher anchor, £80 might seem like a higher price on its own.

How to use anchoring in your business:

• List your premium packages or “full experience” options first.
• Offer multi-class passes, VIP tickets, or private sessions as anchors.
• Clearly display the benefits of each tier to highlight value.

Anchoring works particularly well for tiered pricing models where you have multiple pricing tiers — this allows students to see the range of options and choose based on their needs and budget. A transparent pricing structure helps students make sense of their choices, ensuring each tier is logical and intuitive so they can easily select the best fit for their expectations and perceived value.

2. Bundling: Encourage Bigger Purchases

Bundles make students feel they’re getting more for less, even if the savings are small.

Examples:

• 5-class pass for the price of 4
• A workshop plus materials included in one combined fee
• A bring-a-friend discount that lowers the total class fees

Bundling is an effective pricing strategy for increasing commitment. Students are more likely to stick with your programs if they’ve already purchased multiple sessions. Bundling encourages students to purchase more sessions at once, increasing the overall value of each transaction. It also helps you lock in profit upfront while encouraging loyalty.

Pro tip with Baluu: You can easily create session bundles, passes, or upsells. For instance, yoga studios can sell a “10-class pass” or a “course plus kit” package directly through the system, increasing revenue while offering added value to their community.

3. Limited Offers: Drive Urgency

Deadlines and scarcity are strong motivators. When customers know an offer won’t last, they’re quicker to book.

Examples:

• Early-bird discounts for those who book an online course before a certain date
• Limited seats available for exclusive yoga teacher workshops
• Seasonal promotions like summer packages or holiday-themed classes

The key here is authenticity: the urgency must be real. If you claim there are limited spots but always extend the deadline, you risk losing trust. Done well, however, limited-time offers are a great way to attract new members and encourage quicker decisions.

4. Charm Pricing: The Power of “.99”

Charm pricing is simple but effective: £19.99 feels closer to £19 than £20. This small psychological trick can make a big difference, especially for lower-cost online classes or add-ons, as it creates a sense of affordability and value for the customer.

While some instructors prefer round numbers, using charm pricing helps signal a fair price and can increase willingness to pay. For class prices under £50, this strategy is particularly effective at nudging hesitant buyers.

5. Framing Benefits Over Costs

Instead of presenting the full cost upfront, break it into smaller amounts.

Example:

• “Just £12 per week” feels easier to commit to than “£48 per month.”
• “Only £5 a day” is less daunting than “£150 a month.”

Framing helps potential clients focus on the ongoing benefits instead of the total expense. It highlights how your course fits into their lifestyle and supports their goals, helping them achieve their desired results, whether that’s learning a new skill or joining a yoga studio community.

This approach is particularly useful when selling online courses where payments can be spread out over time.

Putting It All Together

The strongest pricing strategy usually combines several of these methods:

• Use premium packages and anchors to justify your standard rates.
• Add bundles to encourage commitment and repeat bookings.
• Create urgency with limited offers and seasonal discounts.
• Frame your prices to emphasise value over costs.
• Offer additional services to differentiate your offerings and justify higher prices.
• Develop a clear, targeted program to attract and retain students.
• Use different price points to appeal to various customer segments and encourage paying for advanced offerings.

As you test these approaches, keep an eye on your profit margin and overall business performance. Proper pricing leads to long-term success and sustainability. Regularly review your class schedule and whether your classes are priced appropriately to align with market trends and student needs. Consider the skills of your instructors and the valuable experiences you provide to each student.

A simple three steps process for reviewing and adjusting your pricing strategy could include: (1) gathering knowledge about your market and competitors, (2) evaluating your current offerings and valuing your expertise, and (3) testing and refining your price points.

Don’t forget the importance of marketing efforts to attract students and highlight the benefit of your classes. Make sure students have easy access to your online classes. Focus on creating new offerings or marketing materials to keep your business fresh.

A practical tip: periodically assess your pricing strategy and use feedback to optimise your approach. By following this process, you’ll maximise the value per student and set your business up for continued growth.

Final Thoughts

Small changes in how you present your pricing can have a big impact on your bookings. By applying pricing psychology for classes, highlighting perceived value, and structuring your offers clearly, you can encourage people to book more, pay with confidence, and remain loyal to your programs.

Ready to start experimenting? With Baluu, you can create bundles, tiered pricing structures, seasonal discounts, and premium options to discover what works best for your target audience and grow your business sustainably.

Further Reading from the Baluu Blog

If you’re looking to refine your pricing strategy and boost bookings even further, these articles are great next steps:

• Top 10 Class Ideas to Teach This Month — Launch Quickly with Baluu’s Custom Booking Software – Fresh course ideas and quick launch tactics.
• Top 10 Features in Baluu's Custom Booking Software You Might Not Know About – Enhance your classes with under-the-radar tools like add-ons, reminders, and waitlists.
• Top 10 Best Yoga Class Advertising & Marketing Ideas For 2025 – Marketing strategies tailored for yoga studios.