On Angie’s List’s Pricing (or how NOT to price in one easy lesson)

Last week, I surfed into Angie’s List, a site which allows people to exchange information about local services providers like carpenters, yard services, etc. I knew it was a paid membership site, and I was curious about the pricing. Long story short, I did not sign up for a membership.

This morning I received the following email from them with the subject: Oops! We meant to give you a bigger discount


So, let me get this straight. Angie’s List does a poll that indicates that 80 percent of companies do not have the confidence in their product or service to stand by a price they have given a prospective customer. In other words, they are liars – their “price” was not their price! Angie’s List then decides that rather than being an indication of a problem, they adopt this policy themselves.

In addition, they cast doubt upon all the vendors who use their service and tell me that they (Angie’s List) are liars (their price was not their price), but that they would really like me to sign up with my PayPal account and get even more off. Ahhh, no thanks!

Have I missed anything?


  1. Matthew Tol says:


    As one of my (very successful) customers puts it:

    “We do not sell discounts”.

    If you don’t have confidence in your product, service or offering, then of course you’ll discount – in effect, you’ll let your worst competitor set your income levels.

    That is just plain stupid.

  2. Matthew and Michael, thanks for your comments. I have received a few tweets and emails about this saying that Angie’s List is a scam. I am not sure I would go that far, but I certainly question their thinking.

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