When it comes to pricing, lots of business owners get stuck in a race to the bottom.
There are always going to be people around who will do the job cheaper.
But that doesn’t mean you should devalue your service simply because others are dragging their own value down.
To be fair, raising prices can be scary. And often we underestimate the real value of our services.
When I first started my business in 2012, I was charging $100 a month to manage someones Google campaigns.
Eventually, I took a huge step and doubled my prices. And then I increased them again. And again.
Last week, I spoke to one of my mentors, and he told me that I am still not charging enough. Why?
For starters, I helped one client in the building industry to double his business. And I only charged him $795 a month for it.
For another client, we’re generating over 80% of his sales. Around $600K each month, and we only charge $3000.
Somehow, I feel that I can’t charge more for my services. I know how to get the job done. It’s not that big of a deal for me.
I spent ten years refining everything, writing “cheat sheets” and checklists. I just follow the process, ask the right questions, pick the right images, and write the right ads.
It’s easy. Right?
I talked to another client about this last week. And she said we do a lot more than just making the phone ring for her business.
For years, she’s been trying to get Google to work for her. But it never did. Disappointments with contractors or agencies. She tried to do it herself. But after a couple of months and 30+ hours of work, she realised there was still too much she didn’t know.
So, why am I telling you this?
If all you do is compete on price, you’re racing to the bottom. (Unless you’re McDonalds or Kmart)
Often the hardest thing to raise your prices is your own subconscious mind.
You’re sabotaging yourself because you believe that what you do is easy.
Focus on communicating the value that you offer, not the price.
What would it mean for your business if you could increase prices by 10%
What if you could double them? It may be easier than you think.