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Glossary · Sales & pricing

What is Good-better-best?

Good-better-best pricing presents three priced options so customers choose which, not whether. How to build the tiers, an HVAC example and common mistakes.

Updated October 15, 2026 · 5 min read

Definition

Good-better-best is a pricing and presentation method where a contractor offers three options for the same problem at rising prices: good fixes it, better fixes it and adds protection or efficiency, and best is the most complete solution. Choosing between options replaces a yes-or-no decision, which tends to lift close rate and average ticket.

Also called: GBB, tiered pricing, option pricing, three-option estimate, menu selling

Number of options
Usually three; two or four also work
Built from
The price book, ideally as templates or kits
Counts in close rate as
One proposal, not three
Research basis
Compromise and decoy effects (consumer research)
Must include
An honest option that fixes the problem

Good-better-best is the most widely used selling structure in residential trades, and the most often done badly. Done well, it respects the customer: every option fixes the problem, and the customer picks how far to go. Done badly, it's a cheap option nobody wants next to an expensive one the tech is pushing.

Good-better-best in plain English

An HVAC tech finds a swollen run capacitor on a 9-year-old condenser (example prices). Instead of quoting one repair, the tablet shows three:

Option (example)What's includedPrice
GoodReplace run capacitor$280
Better (recommended)Capacitor, contactor, surge protector$520
BestBetter, plus hard-start kit and one year of maintenance membership$780

All three get the house cool today. The customer now decides which level of protection they want, instead of whether to let the tech do anything at all.

Why does good-better-best work?

Two well-known findings from consumer research explain much of it:

  • The compromise effect. When people choose under uncertainty, an option becomes more attractive when it sits in the middle of a set, partly because it's easy to justify.1
  • The decoy (attraction) effect. Adding an option that's clearly worse than one of the others can increase the share choosing the option it's compared against.2

These studies were not done on contractors, and they don't promise a specific lift. They are a reason to design your middle tier carefully and make the differences between tiers easy to see. The bigger practical effect is simpler: a tech who presents options gets a decision on every call, and a tech who presents one price gets a lot of "we'll think about it."

How do you build good, better and best options?

  1. 1

    Start from the problem

    Good is the honest fix for what the customer called about, priced from the price book.

  2. 2

    Add protection for better

    Parts likely to fail next, surge protection, a longer warranty. Each addition should be something the tech can explain in one sentence.

  3. 3

    Make best the complete answer

    The most thorough fix, often with a membership or extended warranty. For aging equipment, best may be replacement.

  4. 4

    Space the prices sensibly

    Each step should feel worth its price. Big jumps with small differences make the upper tiers look like padding.

  5. 5

    Save as templates

    Build the common sets once in the office so every tech presents the same options at the same prices.

Common mistakes

MistakeWhy it hurtsFix
A good option that doesn't fully fix the problemFeels like bait; damages trustGood must solve the complaint
Tiers that differ only in priceCustomers see paddingEach step adds something visible
Jargon in descriptionsCustomers can't comparePlain words, one line per benefit
Techs pre-deciding for the customerLower tickets, fewer membershipsPresent options every time work is needed
Monthly payments without termsDisclosure problemsShow the estimate and its terms, honestly

If you show a monthly figure beside each option, read presenting monthly payments honestly first; there are disclosure rules that apply.

How good-better-best affects your numbers

Options move two numbers at once, and you should watch both.

 Single priceGood-better-best
Customer decisionYes or noWhich one
Close rateDepends on one price landingUsually steadier: there's an option for most budgets
Average ticketFixed by the one optionRises when customers choose better or best
Customer feelingCan feel like take it or leave itFeels like a choice
RiskLost sales on priceOverselling if tiers are padded

Read close rate and average ticket together. Revenue per proposal (close rate × average sold ticket) is the cleanest way to see whether options are working for a given tech or job type. Our deeper write-up on the psychology and math of option pricing includes a worked example of what options do to the ticket.

Free calculatorMarkup vs margin calculatorConvert markup to margin (and back) so your prices actually hit your margin target.
  • Upselling adds an item to a single quote. Good-better-best presents the levels up front and lets the customer choose.
  • Menu pricing is a broader term for a printed or on-screen list of set prices; good-better-best is menu pricing organized around one problem.
  • Comfort advisor is the role that presents replacement options, often in good-better-best form, on install sales calls.

How good-better-best works in TradesWork

In TradesWork, a technician builds one to four priced options per proposal from the price book or a proposal template, flags one as recommended, attaches proof photos and rebates, and shows member prices beside regular prices for members. The customer signs on the phone, even with no signal, or approves later from the job's link by typing their name. Unsold proposals land on a follow-up board with automatic texts at 2, 7 and 21 days. Monthly payment figures are estimates and only show if the office turns financing on; no lender is connected yet. See the good-better-best feature for details and limits.

Footnotes

  1. Choice Based on Reasons: The Case of Attraction and Compromise Effects, Itamar Simonson, Journal of Consumer Research 16(2), September 1989, pp. 158–174. ↩

  2. Adding Asymmetrically Dominated Alternatives: Violations of Regularity and the Similarity Hypothesis, Joel Huber, John W. Payne and Christopher Puto, Journal of Consumer Research 9(1), June 1982. ↩

Free download

Flat-Rate Price Book Builder

Work out your true hourly cost, set your billable rate, and price every task with good, better and best options.

Get it free
  • Overhead and labor cost calculator
  • Billable hour and target margin model
  • Task pricing sheet with materials markup
  • Good / better / best option builder
  • Member discount column

Frequently asked questions

For a failed AC capacitor: Good replaces the capacitor ($280). Better replaces the capacitor and contactor and adds a surge protector ($520). Best does all that plus a hard-start kit and a year of maintenance membership ($780). All three fix the problem; each step adds protection or value the customer can see.

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Three workers in coveralls unloading equipment from a van