One of the most common conversations I have with my smaller business clients is around the value they place on themselves and their services. Besides the fact there is often very much a lack of confidence when you are a small operator, many businesses are underselling what it is they do, and how well they do it.
The following are the most frequently heard reasons for low prices, and my answer to them:
I’m just starting out.
Fine, but how are you going to ask for a lot more money when you are no longer starting out? Of course you can discount to get some extra clients, but tell them your true value first. And remind them they are getting a good deal. Start with the price you what to end up offering.
No one else will pay more
I don’t believe you. You mean the people you are talking to won’t pay more. What about the people you aren’t talking to? Maybe you are targeting the wrong customers?
My competitors are price warring me
My answer to that is – stop warring on price. Concede they are cheaper, and go about providing a reason to pay more with you. Let them fall under the pressure of unsustainable prices.
I love what I do
Most of us love what we do- it’s why we started a business in the first place. Loving what you do doesn’t mean your clients then all get a discount. They should be paying for your passion- they’ll find it inspiring
I have no idea what I’m doing
So often we create a cost around a nominal idea of what we value our product or service at. Take a good look at it. Is it profitable? Is it sustainable? Is it worth getting out of bed for? Is it something that will help you reinvest in business growth?
My regular clients know the look or tone they get from me when I get the first hint they are undervaluing themselves. Back yourself – and surround yourself with people who back you too – and remind yourself again –
YOU ARE VALUABLE. WHAT YOU DO IS VALUABLE