Visit your local dog parks, vet clinics, pet stores, introduce yourself and let people know about your business. However, I would not lower my prices, if you are confident about the quality of your services and are well priced for what you offer, you do not want to set precedents that are hard to break, it is very difficult to up your prices once clients are used to paying a certain amount. Go through the profiles and reviews of successful sitters in your area and see how their profile is worded, what type pf photos they use, that sort of thing.
Also if you are serious about making this a good source of revenue, go take some dog training classes and get yourself some credentials. I am the most expensive in my area and yet I am super busy, too busy even but I am a certified animal trainer and behavior modification therapist, I competed and titled many of my dogs and client's dogs so I can charge more and still get a whole lot of business.
Yep, it is just a waiting game now! It took me a few months before things really got rolling. You are doing all of the right things though - posting on Craigslist is a great idea. Just give it a little time :)
Im a fellow sitter and im in need of someone to take over my drop in visits for a new client in the Las Vegas area. If anyone is interested pls let me know.