Do whatever you need to do to get on your feet. But you're probably not going to win much business by outcompeting incumbent vendors on price. There's a going rate for things; it's a band of rates. Price somewhere in that band, until you're on your feet, at which point you should start a process of raising your rates that ends when you retire.
I agree entirely. The problem for newcomers is getting the first couple of clients. Discount pricing can help with that. But it needs to be clear to even those clients what your real rate is and that they're getting a discount.
Just so we're clear: I'm saying discount pricing isn't likely to help you get your first clients, because most serious buyers of consulting services aren't making their selection primarily based on price, but rather on how certain they are that the project will complete successfully. Cut-rate pricing is a good way to lock in subcontracting arrangements, though.
