Profitability is the ultimate measure of business success. Many portable sanitation operators struggle with pricing—either undercharging for their services or failing to account for all operating costs. A strategic approach to pricing directly impacts your bottom line and long-term sustainability.

Understanding Your Costs

Before you can price effectively, you must know your true costs. This includes:

Direct Costs: Equipment depreciation, vehicle fuel, chemicals and additives, water, waste disposal fees, and labor.

Indirect Costs: Insurance, maintenance and repairs, administrative overhead, utilities, and facility costs.

Hidden Costs: Many operators forget to factor in customer acquisition costs, bad debt, and emergency service premiums.

Calculating Your Minimum Price

Your minimum price must cover all costs plus a reasonable profit margin. Calculate cost per service call and add 30-50% profit margin depending on your market and competitive position.

Value-Based Pricing

Beyond cost-plus pricing, consider the value you provide to customers:

Reliability: Customers pay premium prices for providers they trust. Never to miss a scheduled service.

Professional Service: Clean uniforms, punctual arrival, and friendly technicians justify higher rates.

Problem-Solving: Addressing customer concerns proactively and creatively adds value.

Additional Services: Hand sanitizer refills, waste disposal, extra cleaning, and emergency service command premium pricing.

Market-Based Pricing

Research competitor pricing in your market. Are you positioned as a budget provider, mid-market, or premium service? Price accordingly and ensure your service quality matches your pricing tier.

Pricing Strategies

Tiered Pricing: Offer different service levels at different price points—basic, premium, and deluxe services.

Volume Discounts: Customers who commit to long-term contracts or multiple units can receive slight discounts, improving retention.

Seasonal Adjustments: Higher prices during peak season (summer, event season) can offset lower-demand periods.

Emergency/After-Hours Premiums: Charge more for emergency or outside-normal-hours service.

Increasing Revenue Without Raising Prices

Upselling: Offer premium services—extra frequent cleaning, equipment upgrades, specialized units.

Cross-Selling: Bundle restrooms with handwashing stations or shower facilities.

Longer Rental Terms: Annual contracts reduce customer acquisition costs and ensure predictable revenue.

Communication and Transparency

When raising prices, explain the value clearly. Point to service improvements, equipment upgrades, or market-wide increases. Customers who understand value are more willing to pay.

How Equipment Quality Affects Your Pricing Power

Quality equipment isn't just an operational advantage—it's a pricing advantage. When your restrooms are consistently clean, never break down, and deliver superior customer experience, you can charge premium prices. Customers recognize and pay for reliability. Operators with newer, well-maintained equipment from trusted manufacturers like TOICO often command 10-15% price premiums compared to competitors with older or less reliable equipment. Invest in quality equipment and you invest in pricing power.

TOICO's Perspective on Pricing Strategy

Many successful portable sanitation operators have improved their profitability by partnering with TOICO Industries for equipment and supplies. These operators benefit from TOICO's reliability, which allows them to confidently offer service guarantees and command premium pricing. When facing the pricing challenges discussed in this post, they don't struggle alone—they leverage proven solutions and expert guidance from a partner with proven track record in the industry. Your operation could benefit from similar success by working with TOICO's experienced team to identify solutions tailored to your specific market and competitive position.

Document Your Value Proposition

When communicating your pricing to customers, clearly articulate your value: professional service, quality equipment, reliability, and customer support. This justifies your rates and attracts customers who value service over price.

Next Steps: Review and Optimize Your Pricing

Block time this week to review your current pricing structure against the strategies outlined above. Identify one area for improvement—whether that's upselling premium services, adjusting pricing tiers, or communicating value more effectively. Small adjustments compound into significant profitability gains.

Ready to implement these strategies? Call TOICO Industries at 1-888-935-1133 or visit www.toico.com to explore equipment and supply solutions that support your pricing strategy and profitability goals.