When a competitor is cheaper, the first temptation is to cut the price. But in a price war both sides usually lose: margins shrink, and the customer becomes someone who only chases cheapness. The way out is to compete on value, not price.
Show value, not price
When a customer says "expensive," they often mean "I don't see the value." The fix is to show the result clearly through positioning and value proposition: you deliver not just a service but a concrete, measurable result (for example, sales-ready leads). When value is clear, price becomes secondary.
A USP works here too: a unique promise the competitor can't make renders a price comparison meaningless.