by Cara Lumen
It’s time to raise my prices. Why? Because I am worth more. I know more than I did a year ago. I have more experience than I did a year ago. I am more skilled in how I offer what I do.
So what’s stopping me?
It’s not about time
I have a web designer friend who sometimes says, "But it only took me an hour to do that." And I have to remind her to think what the value of her design is to her client. How many years it will be in place. How much income it will bring her. It’s not about how much time we take to do it, it’s about the value we give.
It’s not about money
Sure, there are people who spend time looking for the lowest price and pit vendor against vendor to save a few pennies. We have to let them be the judge of how best to use their time and resources. But each of us offers so much more than money and we must incorporate that added value in our pricing.
It is about the intangibles
You want to attract people who value you because they relate to you, because you understand their needs Look beyond the tangibles to place a value on the underpinning of the service you offer.
Reliable service has value
Never underestimate the value of offering reliable service. Only if you have wasted time waiting on someone to fulfill an order or create a project upon which others must act do you understand the full impact of reliable service.
If you get things completed when you say you will and if your back end system is efficient and fulfills orders on time, that is worth money to your customers and clients.
Understanding your clients’ market adds value
As you expand your own knowledge of your clients’ market base, you increase your value to them. Because of your knowledge of their competitors, your client will be miles ahead in their field. Think how that enriches the value of your offerings.
Strong project management adds value
Remember a time you had to work with someone who was disorganized? It was a mess. Things got lost, they didn’t get their work done and there was confusion even in the conversations you had. Huge amounts of time were wasted.
I’ve worked hard at my project management. I have a strong intake form that helps both my clients and me identify what is in place and what is missing that we need to develop. I developed a Coaching Call Prep Form that allows the client to report their weekly progress. It allows me to quickly tune in before a call to see where we left off and what we planned to do in the next call. I send them their weekly assignment right after each coaching call.
Strong project management keeps efficiency at a premium and saves both you and your client and money.
What your time is worth to satisfy your own financial objectives
This is not about anyone but you. What do YOU think you are worth? How does your financial math work out? How many hours do you need to spend with clients to meet your personal financial needs? How much time do you spend with marketing, with administration? How many hours are there that you want to work? How many do you not want to work? These are choices only you can make.
Do you just want to "get by?" Are you playing it "safe?" Or can you raise your vision and your expectations of what you would like to earn? Even if you are staying within your comfort zone at least move to the outer level and set your intention at least two steps beyond that. Growth is good. Higher expectations are good.
Giving wise counsel has more value than you can ever put a price on
My brain is worth more than my service. My brain things up fabulous ideas, it sees possibilities where others don’t, it recognizes the connection between one idea and another, it holds a vision of success for my clients.
What possible price can I put on that?
It is invaluable.
NEVER permit competitors, industry norms, or community norms to set YOUR prices.
Look at these intangibles. Give some thought to how much value they add beyond the time you spend with your clients. YOU decide what you are worth. Then find the kind of client or customer who has reason to accept your evaluation of that worth.
© 2008 Cara Lumen