I agree with Confucius who is reputed to have said “Man with open mouth waits long time for roast duck to fly in!” Too many trainers, consultants or coaches don’t know what they’re worth or don’t have the confidence to ask to be paid well for the services they deliver. Even when their clients get fabulous results they still often undervalue their role in the outcome.
That’s why too many talented self-employed professionals struggle with undercharging and this is especially true of women.
When the subject comes up about raising their fees many women talk themselves out of it because they start listening to the monkey chatter in their head instead. This means they end up playing safe and either don’t raise their fees or just nudge them up a little.
The flip side is that being known as cheap is actually harmful to your brand as well as your bank account so it can actually work against you. Double jeopardy!
My tip is to stay focused on the outcome you deliver and keep in mind that your prospective client is looking for value so you can feel confident to charge what you’re worth.
Here’s 3 sure signs it’s time to raise your fees.
- Your clients are telling you – you should charge more
While this may seem extraordinary it’s not actually that uncommon to hear clients say things like “I got much more value than I paid for” or “you’re worth more money” or even “you should charge more for what you do”.So if you’re hearing comments like this it’s definitely time to raise your fees.
- You haven’t raised your fees for 12 months or more
I believe you are either moving forward or going backwards, never just standing still. And this applies to your fees as well. If you are not raising your prices at least once a year (twice is better) then you are falling behind.
Be aware though not to fall into the trap of just keeping up. Obviously the cost of living continues to go up yet at the same time you continue to gain so much more experience year in, year out. This means you deliver ever increasing value and your fee increase needs to reflect this as well.
- You are signing up 75% or more from your enrolment conversationsThis is a big one. In marketing terms we call this ‘closing the sale’ or ‘getting a conversion’ and the higher the conversion rate the better. But here’s the kicker. If you are selling services your clients are buying the results they want from working with you. And the closer you get to 100% the more important it is to raise your fees otherwise you could end up overworked for too little return.Now this may seem counter intuitive but when you raise your fees you can earn the same amount serving less clients. Alternatively you can continue with the same client load and earn more money.
If any of these signs are true for you, my coach’s challenge is to raise your fees.