The one thing I have seen through my years as a coach that horrifies me, is that the owners of service businesses become defensive and kill the value perception for their business when a perspective client balks at their pricing structure. If you are not confident in your fees how do you expect the potential client to be? When you become defensive and try to justify you have lost the battle before it has even started. You have lost to opportunity to build Value Perception for your expertise.
Here are some Don’t s when you are faced with the question “How much do you charge?”
Don’t become defensive!
Don’t make excuses!
Don’t compare and contrast between you and your competition!
Here are some Do’ s when you are faced with the question “How much do you charge?”
Do remain confident!
Do give benefits!
Do authenticate credibility!
Do use testimonials!
I’ll give you an example that recently happened to me. I got a call from a perspective new client who wanted to understand more about the benefits of coaching. She had been referred to me from someone I had met at a networking meeting. Our conversation was going quite well when I started to notice she was hesitating a bit with her questions. Realizing where she was trying to go I asked her to just ask me the question that was really on her mind. I knew this would help put her at ease and give her the confidence to ask me “How much do I charge?”
I paused for just a second before answering to allow her to refocus on our question at hand. I briefly explained my fee structure and waited for a moment to let her absorb the information. A couple of seconds went by and then she tells me that my pricing is a little high. I smiled to myself and went into my DO’ s when asked “How much do you charge?”
I did remain confident in my presentation!
I did explain to her the benefits of working with me!
I did authenticate my credibility with a ROI analysis of past and present clients!
I did use a couple of client testimonials regarding my ability to motivate them into action.
All this time I was building value perception in my services and fee structure. By the time we were getting ready to conclude our consultation she was starting to grasp the talent and ability I had to help individuals reach their full personal and business potential.
Now I stopped her and asked her to take a couple of days to think about working with me and to call on a couple of the clients I have for a reference.
I gave her the names and contact information of two of my existing clients and suggested she check back with me in day or two.
The very next day I received a call from one of the references I gave her telling me she was going to start with me next week. My existing client apparently closed the sale for me.