In all my years of building businesses and coaching thousands of entrepreneurs, I have found that one element, more than any other, drives one’s ability to succeed in business. It’s a belief in one’s ability to deliver on the promises they make in their offer. Whether the promise is to lose excess weight, 10x your income, heal a broken marriage or close more ideal clients, we need to feel confident in our ability to inspire lasting change in the lives of our clients.
When we doubt our ability to deliver on the promises we are making in our marketing or high-ticket offers, we shrink back, play small and fail to enter into client conversations with the confidence they are longing to see.
As a coach, consultant, author or teacher you owe it to your future clients to design your program, coaching package or high-end mastermind to impart the beliefs, behaviors, skills and support others need to create the change they are seeking.
In addition, there is nothing that will aid you more in closing additional clients with ease than an unshakable belief in what you are offering. The greater your belief that your offer is the best possible next step for the prospect, the greater your ability to support them through their fears, doubts and worries about making the investment of time and money.
The goal is to enter each enrollment conversation to decide on a next step plan, that provides the greatest amount of support for what the client can afford. While you will typically lead with one primary offer, it’s important that you go into the conversation with the intent to determine the best possible next step that suits their needs and budget. This consultative approach adds to the spirit of partnership and likely supports your corporate values of service and integrity.
In this blog, we will explore the elements of an enticing primary offer – your preferred way of working with clients, in order to get them to their goal. With clarity regarding this primary offer, you can then make adjustments or lower-priced packages to enable you to meet potential clients where they are.
Elements of An Enticing Offer
To create your enticing offer, you will want to get clear on 4 important elements.
- Investment required (what you will charge)
- The breadth of content you are providing (the extend of your client path)
- Level of personal support with you or your team (how much one-on-one or group time)
- Degree of promised results (what changes/results they will be empowered to make)
How To Decide What To Charge
When deciding on pricing and what you will charge for your services and programs, it is not uncommon for it to trigger an internal dialogue, that is influenced by our sense of self-worth and confidence in our ability to deliver on our promise. If you have ever questioned what you charge or worry if your clients can afford your fees, you are not alone.
My suggestion is that you consider the following factors when deciding on how you price your products and programs.
- Experience and track record – This is one of the most important factors in your pricing strategy, as it speaks to your credibility and experience. On one end of the spectrum, there is the individual who is just starting out, never having walked a client through a process of change. On the other end of the spectrum, is the seasoned pro who has years of experience working with clients to impact lasting results. The pricing strategy for these two individuals will vary greatly.
- Cost of delivery – This includes all costs associated with delivering the items outlined in your packages, such as producing physical products, shipping, customer service, admin and tech support, your team’s time and so on. While there is no “right answer”, a good target is that your direct cost of goods should never exceed 20% of your selling price.
- Competition – While not always a good indicator of what you can charge, especially if you are bringing something unique to your market, it is a reference point that you should be aware of and consider.
- What the market will bear – This can be either an inspiration to charge more or a limiter from charging your worth, so be careful to have this be a small determinant in your overall pricing strategy.
- Systems, Automation and Templates – The longer you have been working with clients and helping them create results, the more likely you have set up systems for streamlining delivery. For example, a corporate consultant who includes a detailed “Report of Findings” after conducting research within the organization, will likely use a template for this type of report, changing certain sections according to the client. These types of templates reduce your time without diminishing value.
- Opportunity Cost – This is often where people – especially those new to business – get in trouble, since it has no direct cost associated to it. To really get a handle on this element of pricing, get clear about where else your time could be spent and what results you could be creating.
- Finally, and perhaps the most important, is to consider the impact… the outcomes you help clients create. For example, when we work with clients to create, produce and launch a 5 module online program they can leverage for years to come, we save the clients hundreds of hours, ensure they price it appropriately and help them create content that is far superior to others in their niche. The outcome is therefore more profitable and scalable – proving the value of what we offer.
In the end, the topic of pricing is not an exact science and needs to be played with over time. However, one thing I know, having worked with thousands of entrepreneurs over these past few decades… it’s very likely that you are charging less than you can or should.
So, take time this week to ponder what I’ve shared and then have the courage to charge your worth and… feel really good about it.
Then, when the client says yes, go about the business of delivering on what you promise and celebrate as the magic for your client unfolds.
Jane Deuber is a business strategist with 33 years and 7 successful start-ups to her credit and helped over 15,000 entrepreneurs experience greater fulfillment and improved profits through her programs and products. To learn how Jane and her team can help you expand your reach and increase profits, check out her two companies, Global Experts Accelerator and Smart Biz Quiz.