I find the $165 rate lame, it really is $180 IMHO (it's awkward to count $5 and I often don't have them anyway), which would still be reasonable for 90 minutes of good therapeutic massage, but it sounds more honest.
Having said that, why not find a way to offer a "good enough" 1 hour massage at $120 and see how it goes? It may not be ideal given your high standards, but if the market wants it that way, the market is right.
The other route is of course to add some sensual options as suggested above, but I understand why many LMTs don't want to go there (fear of losing license or just being uncomfortable doing it). My favorite masseurs over the years have been trained LMTs who at some point decided to do that, and I am happy to go back whenever our paths cross as long as they don't charge over $200 per hour.