You’ve probably heard this before, but if you’re providing the BEST product or service possible, you need to raise your prices.
I’ve been working with high-end coaches for six years (and by this, I mean I have been receiving the coaching/being the client along with also providing coaching to my clients), and every single one of them has been SHOCKED at my “low prices” when they learn about my experience, my systems, my results (produced with clients), my extensive and ongoing education, and the incredible VALUE that clients receive from buying my programs.
They often tell me to double my prices immediately as one of their first pieces of advice. I have raised my prices over the years, and I will continue to do so because when I hear clients tell me about the life-changing, bank-account-filling, joy-providing changes they have experienced as a result of coaching, I KNOW that the value they are receiving from me is MUCH GREATER than what they pay in coaching fees. Here’s an article on how to look at value pricing.
Committed To Being The Best
Now, if you’re not like me, if you’re not extremely committed to constant and never-ending education and skill improvement, and delivering the absolute BEST product or service, then you can disregard this email. I’m only speaking to those who produce a high-quality product or service that they KNOW is the best they can make it, a high-quality product or service that provides EXPONENTIALLY more value to the client than the amount they pay for it.
Here is a video of me talking about the next step, how to calculate what price you *should* be charging:
So many business owners are confused about how to set or raise prices! Let me tell you the best way to do it, and what you MUST consider when setting or changing prices.
Posted by Kelli-Rae Tamaki, TMH Business Coaching & Consulting on Wednesday, January 15, 2020
Top Five Reasons To Raise Your Prices
Here are my top five reasons you should raise your prices:
1. Low Prices Attract Low-Quality Clients.
You know what I’m talking about. The person who is upset/wants their money back/complains about the price is always one who has purchased the cheapest or the “deal” product or service from you. Low prices attract a different type of buyer, it is inarguable. In fact, take a walk through Holt Renfrew next time you’re near one, and then immediately go to Walmart. See a difference in shoppers? I thought so.
2. Studies Show That Consumers Equate Higher Prices With Higher Quality, And Choose Products And Services Accordingly.
If your product or service is priced too low, some high-quality potential customers are not buying because they think it’s a cheap product or service! I had this happen to me when I first started—someone quit my coaching program right after starting and switched to a coach who charged THREE TIMES AS MUCH AS I DID, who had far less experience and education! Please, borrow my wake-up call!
3. If You Work Your Hardest To Be The BEST, You Should Charge The MOST.
It doesn’t make sense to be the best, and charge less; in fact, you will give the message to potential buyers that you are not the best by charging less. Plus, it costs more to make and provide the best things, so you need to charge accordingly to make your profit margins. Purchasing the best materials, employing the best people, using the best software, purchasing the best education, and all of the other things you do to make GREAT products or services cost a great deal of money. You can’t pay for those things without a proper price.
4. You Can Help To Make The World A Better Place If You Make More Money.
When you make more money, you can afford to donate more, help more people, and support more good causes.
5. You Can Pay Your Employees More, And Attract And Retain Higher-Quality Candidates.
This in turn makes your business and products or services even better—which should again lead to higher prices.
If you need more help on improving your quality and your pricing, contact TMH Business Coaching and Consulting today for a confidential, free, no-obligation consultation to propel you forward. Also, please feel free to add yourself to our weekly coaching tips email!