Over the last month I’ve met more than 100 small business owners who confess that they work WAY too hard for the amount of money that they make! Perhaps you were one of those whom I met recently in Montreal or Ottawa’s SHIFT! Now if you make more than enough money, you don’t have to continue reading this blog! However, I’m guessing most of you will read on!
I want to share a couple of secrets to setting your prices and getting paid handsomely for your gifts! Working less and making more money sometimes seems like a dream – but it is a reality when you consider a couple few tips and the 5 simple steps.
1. your pricing has nothing to do with how your colleagues price their programs or how much your competition charges! Your pricing should be based on the VALUE of your ‘transformation’. For instance, if your client suffers from extreme gas & bloating, how much would it be worth to them to eliminate it forever?
2. if you are currently working to be paid by the hour, and you’re a ‘transformational’ coach, then please STOP! When you charge by the hour, you place a ceiling on how much you’ll be paid because there are only so many hours in a week or year! Charging by the hour also attracts ‘price checking’ clients.
Here’s what one health coach said after shifting her pricing strategy:
My whole business has shifted. Before working with Diana I was frustrated with my income and the type of clients I was attracting. I was having one health consultation after another; being paid by the hour, with no consistent income. After working with Diana, I now have a Premium Signature Program which gives me a consistent monthly income and clients who are fun to work with because they want the whole ‘transformation’! (Frances Michaelson, naturopath)
Here’s a couple of factors to consider when choosing a pricing strategy. Choosing a pricing strategy should never be random — when people decide to invest in themselves, they are investing in the results they will get through you!
5 Simple Steps to Make More Money!
1. Brainstorm and write down the RESULTS that your dream client gets from doing work with you. What is the ‘transformation’ they can expect from working with you? Can you start to put a dollar value to that ‘transformation’? Start with your best guess.
Transformation Value $$ = ___________________.
2. Consider your expertise and your training. Did your certification cost you dollars; years of training; skills set acquired, etc.? As a coach, I say that my 30 years of expertise has a dollar value; i.e. 30 years x $10,000 per year = $300,000; never mind the thousands of dollars I’ve invested in coaching, training and skills learning!
Expertise & Training Value $$ = ______________.
3. What does it cost you to run and operate your business yearly? Convert your expenses to a monthly number.
Average Monthly Business Costs $$: __________________.
4. How much money do you want to attract to your business each year, excluding expenses?
Attraction $$$ excluding expenses: ___________________.
5. How many clients do you think you can serve during the year? Remember, you’ll need to consider time to not only serve the clients but to marketing, create content, to work ON your business. How many hours of time will that require? _________
Now look at your Attraction $$$ and divide by the number of clients you’d like to serve.
That will give you the Minimum Investment Level for Clients to work with me $$: _________________.
I’d like to share one last tip so that you can be more like Frances — have a consistent income and work with clients who are fun!!! I suggest creating a Premium Signature Program (PSP)! A PSP is simply your proprietary wisdom bundled into a 5-7 module transformation that you sell at a premium price. Since the transformation takes place over time (could be weeks or months) then which clients typically pays over time giving you a more consistent income! If you’d like to learn how to create your PREMUIM SIGNATURE PROGRAM, then I invite you to join the Achiever’s Club to ‘shift’ your business! This program opens with a 2-day Marketing Magic workshop (Montreal, April 9, 10 and Ottawa, April 17 & 18).
It’s your turn to SHIFT into RICH! I want you to earn more than enough money AND to not work so hard! Getting your message clear will help that (Marketing Magic). Creating a Premium Signature Program will help you do that too (Achiever’s Club).
Please don’t stay stuck being underpaid!
P.S. GOT YOUR TICKETS TO SHIFT-The marketing event KINGSTON yet? You won’t want to miss this amazing, interactive day of networking, learning & fun!!! Click here