In your niche… Are you the absolute BEST person available to teach what you teach?
But… if you’re going to do a job, and you’re going to charge for your efforts, do you want to charge the minimum someone will pay for that topic, or do you want to charge the most? Why?
My reasoning had always been pretty sound that I had a valuable product and offered it at an equitable price, something fair and low enough that people could afford what I do. I’ve always stayed busy and figured because my business was always growing, I should consider myself fortunate, because so many in this economy are floundering.
Over a period of several months I considered the pricing model that I’ve used for so long and wondered if I’d been giving too much away. But, there always seemed to be many who complained that they couldn’t afford the prices I offered. Recently, after a discussion with my coach (I love the fact that I finally made the jump and hired a coach for ME) I’ve gone over my pricing and I’ve raised the prices to match the quality (for the first time in years), partially because I realized that my closest competitor, both in location and quality is more than five times the (original) price and slower to deliver, AND moreover… doesn’t provide the continued service I’ve always provided.
My thoughts had always been to stay – middle ground – and about a week ago, I heard someone say “Middle ground is displacement for failure, you’re either moving toward WINNING or LOSING, you can’t stay in the middle for long. So if you want to win, pull harder.” The concept made sense to me, and I started looking at where I was on that line of succession. If I want to win/make more money, I had to be moving faster toward the high-end. I adjusted my prices and posted my July special day before yesterday. I’ve sold 3 July specials at literally 4 X my normal “regular rate” (and THAT is the discounted price. Regular price is higher.)and I’ve got more people calling me today, PLUS appointments for next week too. THIS is more business than I saw in the entire month of JUNE at the lower price.
Is this actual proof positive that I was underpriced?
The line “you get what you pay for” came up today as I visited with a new customer, who had just spent the price for her website and added to it for an additional separate site for her specialty products, an increase on the NEW pricing of more than 80%, plus a NEWLY set up high-value coaching program to teach her how to use the program, charged monthly. She didn’t hesitate to park her plastic on my subscriber list for a monthly fee that is double my original site cost, annual fee.
As of ten minutes ago, I received an email from her, referencing the little bit I’ve completed on her site, “Jan, this is at least ten times better already than any site in my genre. I’m so impressed, I feel like I should send you a bonus!”
No, friends it isn’t about the money. The money is just the transfer of value. The real deal is the value they receive and how much they perceive that value to be worth.
A workman is worthy his hire – Biblical principle to adhere to from this point forward.
— Jan Verhoeff