Remember how I said that April was the month of FOCUS for me? I legit took a mental break from my business to step back and focus on what the hell I really had going on. One of my many revelations had a lot to do with what I was charging for my coaching services. I had always known that my price point was lower than most in my industry but because many of my ideal customers are just starting out in their business, I was afraid that higher prices would be a turn off.
And well my friends, you can never think FOR your customers & assume what they are willing to pay. That was mistake number one.
Mistake number two came along when I neglected to take into account my experience & knowledge. Not to toot my own horn but I've been a business owner over three years now and have learned a lot of useful information through trial & error. Not to mention the classes & coaching sessions I've invested in and the hundreds of books I've stalked.
When you work hard to make sure that you're staying on top of your game in your industry just to make sure you are providing your clients with the best information & resources, you deserve to get paid for it...properly.
Mistake number three happened when I neglected to think about the future. And not just that one big number that I hope to see in my bank account at the end of the year. I will be taking some what of a risk soon in one of my businesses which will mean that I need to increase my income. And of course, I still have monthly bills to pay.
What are you wanting out of your life? Is it taking multiple vacations next year instead of just one? Do you want to retire at 40 instead of 60? Take into account what you want for the future & see how you can charge enough to afford that lifestyle.
Long story short...don't be me.
If you're still hesitant about raising your prices then here is exactly why you should and not feel like a total creep about it later.
YOU'VE HIT A PLATEAU IN YOUR INCOME
Lets say each month you set a new goal to make more than you did the month before. You can only take on so many clients per month, so instead of overbooking and stressing yourself out, how about increasing what you charge per client or project?
THERE WILL ALWAYS BE A BILL TO PAY
There are of course, the basic living expenses and a ton of amazing tools and necessities that help you manage your business. Not to mention sh*t happens all the time & you never know when you may have an unexpected expense. By increasing what you charge, it helps you to easily cover these costs and any unexpected expenses without having to dig into your savings.
YOU'RE LOW-BALLING COMPARED TO OTHERS IN YOUR INDUSTRY
Now, just because your favorite designer is charging $1,000 per client doesnt necessarily mean that you should too. BUT if you're charging something like $35 per session and others in your industry are charging well over $100 well then you're hurting yourself more than you are helping. Everyone wants a low price but pricing something too low can make your work seem cheap. And cheap and affordable are NOT the same thing. Plus it looks like you're charging low because there is no value in what you have to offer.
Look around at others in your industry and see what their price points are. If you're seeing a common amount for offerings similar to yours then it is definitely time that you reevaluate your business model.
(and yes when I first started I only charged $35/per session)
YOU INVEST A LOT INTO WHAT YOU DO
Lets face it, it takes me an entire day (and sometimes more) to properly prepare for a client. Not including gathering resources and putting together all of the notes for our session and creating a weekly action plan. Even though you may be extremely passionate about what you do and it doesnt always seem like work. Honey, it's still work & if you are devoting a ton of your time, resources & even money into it. This is a business, not hobby. You should be paid for the work you put into it (just make sure you are providing extremely valuable resources).
By now you should be all pumped up (and if not just send me an email so I can remind you of how awesome you are!).
SO HOW DO YOU RAISE YOUR PRICES GRACEFULLY?
Be very clear on the value of your product or service. You may not be able to guarantee your client will have 12 new customers daily but if you can provide them with helpful tips, worksheets and an action plan to help them get to that point then that is definitely something worth investing in. Your product isn't for you its for your customer so make sure everything that you offer is extremely valuable, price accordingly and then make sure they know how what you have to offer will be life changing.
To also ease the blow of surprising your audience with higher prices, try sending out a newsletter letting them know that by a certain date prices will be changing but they can still get your normal rate until then. Not only will this make them aware of your upcoming changes but it creates a sense of urgency & I can guarantee you it will bring you in more clients or customers.