Most of the clients I work with have a monthly income goal of around 5k and an audience of around 1000. Sound like you? Keep reading because I have something really important to say to you: YOU NEED TO CHARGE MORE FOR YOUR SERVICE.
Not just because you're awesome and probably massively undercharging for the value you're providing - but because of plain maths. Let me show you...
If you're selling a £50/month membership, you'll need 100 members to hit 5k.
If you have a £100 Power Hour, you'll need to sell 50 of them every month to hit 5k.
If you're selling a £250 course, you'll need to sell 20 per month to achieve your 5k goal.
These figures are totally doable IF you have thousands in your audience (average sales conversion rates are around 2-3%).
If your audience is around 1000 - those numbers don't add up.
That's why I'm a huge believer in getting to that 5k per month mark with one high value service that you sell for £1-3k. That way, you only need a handful of clients each month to smash your goal.
Still not convinced? Here are 5 more very compelling (even if I do say so myself) reasons you should charge more for your service...
1) Your low pricing is putting people off
You thought the opposite was true, didn't you? Surely it puts people off when your pricing is too HIGH, not too low???
Well, actually both can be true. Here's what I mean...
Your price is what you're telling people your service is worth.
Go on - read that again. Let it sink in.
We get so in our heads about people not being able to afford us (more on that later) that we forget that our cheap-ass pricing is making our service look pretty cheap-ass too - and that's not what everyone wants.
Do you want to be the Pound Shop or the Waitrose of your niche? Do you want to be known for being cheap or for delivering amazing results?
While ever you're obsessed with affordability, you'll attracts clients who are obsessed with it too.
The second you let go of that idea of being affordable to all, you can start charging according to VALUE instead and then you attract a whole different group of people.
design & fully book your £1-3k service
2) Your clients will get better results
To continue the idea from the point above - when we invest highly in something, we value it highly. And when we value something highly, we commit to it and take action.
Aaaand when we do that - we get better results.
How many freebies have you downloaded and never even looked at? Yep, me too.
You can put it off until 'later' because you have nothing to lose.
It feels different when you've made a scary investment in something. You're driven to get your money's worth and you'd better believe you show up and take action, right??
I don't know about you, but I want to attract the kind of clients who are deeply committed to achieving their results and who are prepared to invest in the support to get there.
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3) You'll show up differently
When you under-charge, even if you do it with the best of intentions - you end up feeling resentful.
When you under-charge, you under-value your own service - your own skills, experience and talents.
And honestly? That doesn't feel great.
Before long, you'll realise your enthusiasm has been replaced by a sense of bitterness - towards yourself for your lack of boundaries - and towards your clients.
That's not a great place to be in. Instead, wouldn't you rather feel excited to show up and serve? Wouldn't you rather serve deeply and get paid well for it?
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4) Affordability is a myth
Ok, I'm getting deep on you now. I've heard so many wonderful service providers say that they want to be 'affordable'. If this is the reason why you don't charge more for your service, I want you to know - it's a lovely sentiment and comes from a place of generosity and the desire to have a positive impact on as many people as possible.
BUT - it can't be done.
Unless you want to give your service away for free, you will never be affordable to all.
It can be a tough pill to swallow - but this is something you have to wrap your head around and get ok with.
You cannot and will never be affordable to all.
We all have different ideas on what is 'affordable' and those ideas will be based on our own money stories - the things we were taught as children, our societal 'programming' etc.
In fact, 99% of the time, when someone tells you they can't afford your service, this has little to do with the actual money they have available and much more to do with how they perceive the value of your service.
Back in corporate, I worked with a girl who would spend the entirety of her monthly salary on designer handbags. And she did it with joy! She was happy to go without other things because those bags made her feel happy.
I earned more than she did but if someone had suggested I buy one of those bags? I would have emphatically told them I couldn't afford that sort of thing. Because I cannot see the value in it. I have my one handbag, bought in the Debenhams sale and it does just fine thank you very much...
5) you'll prove to yourself that you can
To quote Henry Ford, 'whether you think you can, or you think you can't - you're right.'
As long as you tell yourself things like:
People won't be able to afford it.
No one will pay that.
I couldn't sell something at that price.
What if I can't get results?
You'll be stuck where you are - undercharging and not making the money you want to.
Despite what it feels like, selling a higher ticket service is no more difficult than selling a £9.99 membership or a £100 power hour. Because price is rarely the reason people don't buy (even when they tell you it is). To sell anything you just need:
- A service that delivers a highly desirable result for your ideal clients.
- To be able to communicate that result and the value of your service effectively to them.
So go - charge more for your service and prosper!