How to Price Your Products & Services in Mauritius (Without Underselling)

Underpricing is the most common Mauritian SME mistake. This guide covers the two main frameworks — cost-plus and value-based — plus how to package services and raise prices without losing customers.

Cost-plus pricing

Total cost + desired margin. Great baseline for products and repeatable services.

• All-in cost = materials + labour + overhead + tax.
• Margin = 30–50% is typical for services; 40–100% for products depending on category.

Don't forget to include your own time at a realistic hourly rate.

Value-based pricing

Price for the outcome, not the effort. A social media package that generates Rs 100,000 of monthly revenue can price at Rs 15,000–25,000 confidently — not "my time × hours".

Package your services

Three tiers (Basic / Standard / Premium) work almost universally. Most customers pick the middle. Design Premium to be genuinely worth paying more for.

Raising prices without losing customers

• Give 30 days' notice.
• Grandfather existing customers for 3 months.
• Explain the value clearly (new features, more capacity).
• Raise 10–15% at a time, not 40%.

Frequently asked questions

How do I know if my Mauritian business is underpriced?

If you're always busy but never have cash, if competitors charge 2× yours, or if customers never object to your price — you're underpriced.

Should I compete on price?

Rarely. Compete on speed, quality, or specialisation — Mauritian markets reward differentiation.

How often should I review prices?

At least once a year, and whenever your input costs jump 10%+.

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