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How Much Should I Charge?

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If you’re in the service business, determining your rates for service is always tricky.

Are you charging too much and driving away prospects?

Not charging enough and short-changing yourself?

Hey, why not give your prospects options and let them decide?

To Turn More Prospects Into Paying Clients,

You Must Give Them Options

When I was first starting out trying to close the sale as an solo-entrepreneur, I would offer only one rate and the offer was basically “this is what I charge, take it or leave it.” So people would either take it or leave it.

Then I realized that clients work in a different way. Many people like options (I do too). They don’t want to be “forced” into taking something that doesn’t suit them. They want the option of small, medium or large.

There’s also some psychology to it. Some people naturally go for the biggest, fastest, “supersized” option, just because that’s their personality. Others are more cautious and like to take their time doing things. Sometimes, it’s simply a question of money and what they can afford.

I started making available an option for each of these types of people (and budgets). The result? I started signing on considerably more clients offering options than when I used just one rate.

Why? Probably a few reasons:

  1. There were options to fit different budget levels and it took care of the “am I charging too little or too much?” syndrome.

  2. The client probably felt more in control and part of the decision-making process, which is less threatening.

  3. It gave me confidence that my rates, as a whole, were just right for my ideal clients.

Your Assignment:

Consider charging different rates for different programs. Create different price points in your offerings. Use the provided one for inspiration, but create different options that work for you.

Let there be an incentive to go for the higher option (more time with you or reduced cost per hour as frequency grows). Make it almost irresistible to go for the highest option, but recognize that some people may just not be able to afford it or may choose not to go that route. That’s OK.

Name your different options so that you can refer to them without actually using the dollar amounts. I’ve used the terms “Fast Track,” “Basic” and “Maintenance” programs for my different options. What could you call yours?

Not only do you want to have different options to close the sale, but you’ve got to have a method that WORKS virtually 100% of the time, WITHOUT feeling slick, sleazy or sales-y. (Let’s face it, we all like to BUY, but we don’t like to be sold to; at least I don’t). Problem is, most people haven’t been taught HOW to script something that feels authentic and works practically every time. The Client Attraction Home Study System™ shows you EXACTLY how to do that. It’s everything you need to know to fill your practice quickly; no matter how long you’ve been in business. All the tools, scripts, templates, and examples are handed to you on a silver platter (including how to close the sale 97% of the time). So, you do step one of the system, and when you’re done with that, you move on to step two, and so on. So easy. That’s why my customers have gotten such great results from it. You can get yours at www.TheClientAttractionSystem.com.

Fabienne Fredrickson, The Client Attraction Mentor, is founder of the Client Attraction System™, the proven step-by-step program to attract more clients, in record time…guaranteed. To receive your F.R.E.E. Audio CD by mail and receive her weekly how-to articles on attracting more clients, visit www.ClientAttraction.com.

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  1. 2 Comment(s)

  2. By no imageLorraine BallNo Gravatar (Check me out!) on Jul 4, 2008 | Reply

    What is the right price for your product or service? Most small business owners struggle with this question, because they confuse the cost of producing the product with the value it brings to the customer.
    When it comes to establishing a price for your goods or services, the value of your product has absolutely nothing to do with production cost. The value is based on how much you help clients save, increase, reduce or improve. If you can quantify these benefits, then you have a foundation for establishing an appropriate price for your goods or services.
     

  3. By no imageWalt GoshertNo Gravatar (Check me out!) on Jul 4, 2008 | Reply

    Good points Lorraine!

    Lots of small business owners struggle with communicating the true value they deliver… and as a result, get caught up in price comparisons.

    If you can’t clearly quantify how you help clients save, increase, reduce, improve… money, time, effort, stress… your price doesn’t have much perceived value.

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