Consider that Elance is only one marketing venue. And though a segment of your market may shop there - you may find that you only end up with "bargain" shoppers.

If the product/service you provide is superior and you can demonstrate this to the marketplace then it makes sense that you should be able to price it higher.

You are currently offering a great value service to a bargain marketplace....So your current business model is bound to fail.

There are several things you can do to move your business forward.

For example - use Elance as a lead gen marketplace, offering a lower value entry level service that can be priced competitively and upsell to a higher value service.

For more ideas and a simple way to build a more profitable business model, give me a call.

Best of luck!