I do think the motive for raising the rate is to get better clientelle (subject to whatever "better" means to her, but surely its meant to filter out those into such things as drug addicted street walkers, those with poor manners or without much education, etc).
Your quote from the Freakonomics book makes a lot of sense and I think it's the reality. This is why I never understood why any girl would charge less than $300 (sorry guys). I explained the background to this whole idea earlier in this whole thread, but everybody seemed to ignore it... so I'll restate my theory here:
The rates are set somewhat through this process - the low rate girls (I mean micro girls, asian massage girls, etc.) find that the maximum clients are willing to pay is somewhere around $140-$180. Because of competition, there is downward pressure for prices - that is, there is the tendency for rates to go down rather than up. That is why prices are determined by the lowest prices first. Since the lowest prices are set below $140-$180, the higher rate girls can charge more than that. The average price for them (which are usually the independents) is somewhere between $200-$300. The low rate girls largely exchange money for services, and as far as distinguishing one girl from another, that distinction is based on the kinds of service, the extremity of it, etc. The high rate girls exchange money more for companionship than service. They distinguish themselves from each other by such things as personality, interpersonal communications, accomodating fantasy, and of course sexual services. Personality and interpersonal communications is where there can be the largest differences between providers, in fact, one could say that is what makes each one unique from the eyes of the consumer (I know the provider would beg to differ, that she is unique in all aspects from her point of view). The providers who charge more than $300 are the ones who have been able to distinguish themselves as more "worthy". How would they do that? They do that with clever marketing, creating a persona that is believable and "worthy" to the client to pursue and spend his cash on, he believing that he is buying something that is rare and unlike any other SP out there - which is why I don't understand how an independent SP can market herself (ie: create a website) that is just like every other independent SP website out there: glamourized pics in a studio setting, a little bit of nudity, some generic verbage about herself, etc. If an SP would thoughtfully invest some intelligent effort and time in her marketing, along with the objective of what she wants to achieve, she could propel herself above the $300/hour mark easily.
I cant speak for everyone, but myself and alot of people I know are a little cynical when it comes to marketing, and view it very suspiciously. I know ladies put the effort into their websites, but the majority are, as you say, pretty much all the same (including what they're saying about themselves). Even though I may get drawn into better marketing, I do expect
more out of that experience. If that experience is a let down, or simply on par with those from a lower price point well that will be discussed to no end negativly (do a search on perb for billionairess, for the most part the results are not favorable), and frankly the higher the expectations the easier it is to be disappointed. So as I said earlier, even with the better marketing, raising of rates would require something about the service/experience offered itself to stand out and provide value to warrant repeat patronage.
Currently a provider I like to see just raised her rates, I'll still see her every chance I get, she could in fact raise it higher and I still would see her as much; however there would be a point in which I would end up seeing her less and then not at all (completly going out of my acceptable price range basically). There is also a provider I've seen a couple times I question wether the cost is worth it to me for the experience I receive (it's very much an "in the mood" thing to see her), another that is fine at her price range however if she were to raise it I wouldn't see. As well I can think of one off hand in which I had a discussion with someone why she would charge so little. So as Emmy said "she likes her clients very much", how much do you want to risk losing the regulars you already have, can you operate within the new clientele range, and if you cant and need to drop back down would your old ones not feel spurned and come back?
I think there is some merit to clients with more money wanting not necessarily the best but the perceived best (much like wine drinkers, some know what they're talking about, some think price = quality). However I think the two examples of coffee and cars are proper illustrations. Tim Hortons and Starbucks are largely similar (I dont drink coffee tbh) however there is a world of difference between the quality of a Porsche and a Dodge (years ago a certain European car magazine I used to read that dealt with performance vehicles always had a supercar competition, after the third year they "didn't want to give the 911 the award again, but it's just too good a car"). So you have two groups of people, those who throw around money (starbucks) and those who can properly asses value (Porsche). So you'll get people that will perceive an sp to be "the best" because of her marketing and higher price point, but once you get those who recognize true value chiming in with less than stellar word of mouth that perception changes (of course I'm speaking of if the total service isn't there).
As for filtering out drug addicts - can drug addicts (who are addicts mind you, probably regular users of not only drugs but sex as well, so not partaking once a month here) afford 300/hr? Probably not. Better manners? Who do you think would have better manners, someone who literally knows he couldn't have a woman like this normally, who's a real beauty, makes more money than him or someone who makes fistfulls of dollars is worth more than her (financially), has authority, is used to being dominante and feels he can simply buy his way to things? Wasn't there a thread not too long ago about more successful people have lower morals and more unscrupulous behavior (was posted by AIB so it's probably gone now)? I cant speak with certainty as I dont travel in those circles, but I have associated with people who prefer some finer things (mostly in their dress/appearance) and even though I make more they tend to look down on myself.
From reading reviews I've garnered that those who place the highest priority on sex and performance tend to book for an hour. Those who do multiple hours tend to want the whole experience (personally after trying a couple 1 hour sessions I find it's just sex, and I dont care for it that much, not a fan of "get off, get showered, get out" - I tend to last long, need at least 2 hours for everything. With a provider I really enjoy I've switched from 2 to 3hrs just so I can really enjoy myself). So wouldn't eliminating 1 hour bookings have the same effect of changing the client base without adding any extra pressure for the provider to meet with higher expectations. For a low volume provider that only sees x clients a day wouldn't this also improve her bottom line as now even though she still sees the same amount of clients she gets paid more hours?
And, yuck, comparing McDonalds to fine dining? A steakhouse compared to fine dining is a much better comparison, McDonalds is just bad for you food.