The Price Gap Between Values and Choices

Here's a fun game I play when I hear business owners stressing about automation/AI and global talent:

I ask them to run two ads.

Ad #1: "Local family business. Real humans answer every call. American workers. Hand-trimmed lawns. $400/month."

Ad #2: "Lawns Trimmed. $150/month."

Guess which one people choose?

The "$250 Gap" Between Values and Reality

At the same price point, EVERYONE says they want:

• Local family businesses

• “Real humans” answering calls

• Personal relationships

• That warm, fuzzy "supporting local" feeling

But introduce a price gap, and watch how fast those preferences vanish.

Suddenly, the global workforce "seems fine actually."

That robot mower becomes "kind of cool when you think about it."

That local family business becomes "a bit overpriced."

The Same Price Fantasy

Internet commentators love to compare companies as if price doesn't exist:

"Company A has local service, Company B uses global talent..."

"Company X uses human workers, Company Y automates..."

But that's fantasy land.

In the real world, these choices come with price tags.

And price tags change everything!

The Facebook Truth

Remember when everyone complained about Facebook's privacy issues?

Then venture capitalists funded competitors who essentially said: "Cool, we'll stop collecting data. That'll be $10 a month (they all failed)."

Suddenly privacy wasn't THAT important.

The Local Coffee Shop Test

Your town probably has two coffee shops:

• Local indie shop: $5 latte

• Starbucks: $4 latte

Watch how many people with "Support Local Business" bumper stickers still end up in the Starbucks drive-thru.

That $1 difference makes philosophers of us all.

What Actually Happens

When prices are equal, customers sound like business ethicists: "We should support local businesses!" "Human interaction is so important!" "Community matters most!"

Add a price difference, and they become efficiency experts:

"Well, automated scheduling IS more convenient..."

"The overseas team is actually very professional..."

"Those robot mowers are probably more consistent..."

The Truth About Business Decisions

The market doesn't decide between:

• Local vs. Remote

• Human vs. Automated

• American vs. Overseas

It decides between:

• $300 vs. $200

• $5 vs. $4

• $1 vs. Free

What This Means For Your Business

1. If you're charging premium prices (and consumers happily pay a premium), stop feeling guilty about competitors using lower cost methods

2. If you're automating or using global talent, stop apologizing - just deliver the lower price, or better service at the same price

The Bottom Line

People love local businesses, human workers, and premium service... right up until it costs more.

Your customers aren't lying when they say they value these things. They're just not being asked to put a price on those values.

Yallah Habibi,

Jon