You scrutinized your expenses and feel confident that your business should be earning more. But somehow your earnings aren’t matching up to your hard work.
The answer may lie in your pricing strategy.
It’s not enough to toss a random price tag on your offer. Yes, you did the math. Yes, you want to earn more overall. But if you have a gut feeling around pricing discomfort, there are a few questions that you can consider in regards to your current pricing strategy. It will make easier to increase prices. When clients are clear why you charge what you charge – it’s much easier to sell your services.
In this post, we’ll explore three essential tips to help you boost your pricing confidence.
Tip 1: Review Your Current Offers and Identify a Clear Value Proposition
Shifting away from a pricing discomfort starts with the value you provide to your customers. Begin by reviewing your service offers and ensure they are packed with value. Why do your clients return? Why do they choose your offers vs others in your industry?
This might seem like an obvious question.
But too many haven’t dug in deep on exactly why their customers buy.
For example, I can buy coffee from a number of establishments. But I often choose one location in my community. The coffee is good. But I really visit the shop because, I want to enjoy my java in a leisurely manner and get some work done.
So if the coffee spot thinks that the only reason I frequent them is is because they have the best coffee….they will run into problems when they open up a new spot with 1/2th of the seating options.
Now, that seems obvious. But have you ever examined this question in your business?
- Why do your customers buy?
- What are you delivering that you haven’t taken into account that really matters to your customer?
- What are doing that you don’t even pay attention to…but is providing value for your customer?
For example, do you automatically give clients 30 day access to you if they have questions? Are other vendors in your industry doing the same thing? Perhaps they deliver the offer and then it’s on the customer to either buy more time or figure it out on their own.
Be willing to interview current customers and listen closely for the nuances. It might be hard to hear at first. There are the things that matter to you and your industry standards of professionalism.
And then there are the things that matter to person who is buying.
Be willing to get a clear picture about why your customer buys as it might be the key to unlocking the ability to raise your prices.
Tip 2: Identify Your Pricing Discomfort
Once you’ve done a review of your offers, it’s time to come face to face with why charing more is making you nervous or hesitant.
Now on the surface, this might seem like a stupid idea. But consider these scenarios:
- Do you find yourself buckling with your price when someone objects?
- Do you get jitters in your stomach when you think about saying the higher price?
- Or is there a number that you can’t quote comfortably?
Instead of immediately raising your prices, step back and delve into the underlying issues related to money and pricing. It’s a super common topic for entrepreneurs and one that I think doesn’t get discussed in our society enough. We bring allll types of baggage to the table from our prior experiences. Things like:
- I asked for a raise and didn’t get it.
- I’ve been working hard for my employer and they never acknowledge my work
- I’ve experienced money being stolen or unfairly taken from me
- I don’t know if I will ever get ahead when I look around at others in my circle
There could be many things that show up when you ask deep questions around pricing discomfort. Don’t judge them. Just be open to journal. Dig into what is showing up for you. Be willing to go deep and ask tough questions on this topic.
Once I got clear about my past as a first generation entrepreneur, it got WAY easier to start charging more.
Be willing to do a deep dive on the topic. You might the source of what is causing you to move slowly around increasing your prices.
Tip 3: Seek Support and Set Goals
If you haven’t been able to figure out why and how to charge more, there is nothing wrong with getting support.
I worked with a sales coach a few years ago and it was a game changer. I thought that I had a decent sale process. I had always crushed school day events like selling Girl Scout cookies or picking up odd sales jobs in college or my early 20s.
I had also worked in a company where I shadowed the VPs and watched how they landed large contracts.
But all types of things started showing up for me when I worked with the sales coach. I realized how much I was avoiding certain parts of the sales process – and charging more was DEFINITELY one of those areas. My habits and thought patterns were messy.
Consider working with a therapist, a coach, or a mentor. Getting an outside perspective can be incredibly helpful as it will help you unpack your patterns. You’ll gain more clarity about how and why you show up the way you do. Do your homework and find someone who is trained on the topic and works well with your personality and goals.
But don’t get stuck in examining the past! I have a ton of posts on setting sales goals, practicing your pitch and taking steps to move forward. If you want to start charging more in your business, you are going to have to practice. Yes, you will make mistakes. But it’s different when you gain awareness on how you have been showing up and what value you really offer your customers.
In conclusion, charging more in your business is not just about raising prices but about understanding and boosting your pricing confidence. By enhancing your service offers, addressing discomfort, and seeking the right support, you can pave the way for increased earnings and financial success. Don’t shy away from the value you provide – embrace it and price accordingly.
