In a related matter, we just finished building a house. Far and away, the best subcontractor we used was the lady who did our bathroom tile work. She called when she said she would. She called to confirm work times. She and her crew showed up when she said they would. They cleaned up when they finished each day. She completed the job when she said they would. Her work was excellent. None of the other 10 or so subcontractors even came close to her record on calling or showing up when they were supposed to. Not to mention clean up or job quality.
All this to say, doing a good job and doing it when she said she would made her stand out like a sore thumb (in a good way). She's the only sub I could recommend without reservation. She more than deserved the going rate, and she happened to be booked up for several weeks in advance.
In my work, I always figured the customers who chased after the lowball bids were usually the ones we were most happy to be rid of. Kind of an economic darwinian model of sorts. I much prefer taking a check from a happy, smiling customer who appreciates paying decent rates for an excellent job than taking a check from a frowning, cynical customer who is wondering in the back of his mind if he could have saved a little bit more from the next guy across town.
Finally, when you are saving my life by pulling me from a burning building, I'll have more confidence in you knowing you did a great job for me in your side business when you worked on my lawn and charged me the going rate and have a successful business, than if you charged me less and have a struggling business trying to make ends meet.