Easy Strategies to Determine Your Pricing!
It might just be the most stressful decision you will ever have to make (or so it seems):
WHAT DO I CHARGE FOR MY SERVICES???
You’ve got the competition to consider, your own skill set, what you perceive to be your skills (yes, this is different from the former for most of us), what your market will pay, your location, and a host of other variables. Working it out can feel like a massive hurdle you can’t quite get past. But, there are some easy strategies you can use to determine your pricing.
One popular method is to use an online calculator like the one found on Melissa Ingold’s Time Freedom Business. These will quickly tell you what you need to be charging hourly to reach your income goals, and they’re a great place to start.
But what about trying to get away from the hourly rate mindset? Creating a solid pricing structure requires a little more digging. So with your base number calculated take a look at these to get closer to what you really should be charging:
Your Competition. This might take a little detective work, since a lot of coaches and service providers don’t publish their rates. But if you pay attention to their websites and social media, ask a few discreet questions, and get on their mailing list, you can figure it out.
Be realistic about who, exactly, your competition is, though. Don’t undervalue or over-sell yourself. In other words, make sure you’re comparing yourself to another provider who shares the same skills, market, and experience, rather than simply looking at who you strive to emulate.
Your Skills. In some fields, this is easy. There are certifications and educational programs that allow you—by virtue of having achieved them—to charge a certain rate. If you’ve followed this path, then pricing will be easier for you. If not, take a solid look at what you can legitimately claim as a skill.
Look, too, at your track record. Have you proven yourself by helping former clients (and do you have the testimonials and case studies to show for it)? Have your former clients moved on to bigger and better coaches/providers after working with you? (That’s a good thing!) These are all reasons to consider a higher price range than you might have first thought.
Your Market. In the game of setting rates, it’s your market that has the final say. As any first year economy student can tell you, the price of anything lies where what the buyer is willing to pay and what the seller is willing to accept.
If your goal is to give newbies a helping hand and lead them down the path to success, that means you may be looking at lower paying gigs. That’s not a bad thing—everyone has to begin somewhere—but it does need to be acknowledged. If, on the other hand, you’re target market is more established and economically stable, then a higher fee isn’t just warranted—it’s a must. They will expect a higher rate, and will not find value in the lowest-cost provider of anything, whether it’s coffee beans or business coaching.
Finally, don’t forget that pricing is never set in stone. It’s flexible and scale-able. If you find you’re not attracting your ideal client market (or no market at all) you can always tweak your rates. And as you get more organized in your business and start adding more value to your client’s experience you can Raise Your Rates! Yep I said it, RAISE YOUR RATES. More on that in my next post +:)
Remember, ultimately it’s your business and you get to call the shots!
To Your Success!
Coach Cheryl
Master Board Certified Coach
Successful Coaches Enterprise LLC
