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Yes, that is the common wisdom employed by a service provider in any business as to why they should and will keep their rates elevated above others. And, to a degree, it is sometimes true. A better way to relate price is volume. In my experience, there is relatively little correlation between price and quality in the Hobby. On the other hand, if a provider is on the higher end of the price curve, their volume will almost always be lower, and a provider charging on the low end will almost always have higher volume. (Assuming, nothing in the action is a deal-breaker).
Now, that being said, there are always things that come along and warp the curve. For example, with the economy down, the number of Providers has more than doubled while the number of clients has ... dimished somewhat. So, in order to break into the business, newer Providers often charge 2/3s the going rate but often times provide excellent service. It's called competition. Simply stated, if you want to go low volume, raise your price and you'll keep the Holiday Inn crowd away. That won't make your services any better, just less often used while being better rewarded.
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