Art of the Discount
What…A DISCOUNT? Are you kidding ME? How can I stay in business if I’m giving a discount? I can hear you now grumbling, sighing, telling yourself that well maybe if I did that, I’d make some more money, I would have more clients…and so on.
dis·count ˈdiskount/Submit noun 1. a deduction from the usual cost of something, typically given for prompt or advance payment or to a special category of buyers. “many stores will offer a discount on bulk purchases” synonyms: reduction, deduction, markdown, price cut, cut, rebate “students get a 10 percent discount” verb ˌdisˈkount/Submit 1. deduct an amount from (the usual price of something). “current users qualify for a discounted price” synonyms: deduct, take off, rebate;
How to Never Lower Your Rates Again
It’s happened to every service provider and coach at one time or another—probably more than once.
You offer a proposal or contract, only to have your potential client respond with, “That sounds great, but I can’t afford it.” Wawawa…
So what do you do?
For a lot of coaches and service providers, their first response is to lower their rate. After all, they reason, she really does need my help. Plus its good karma, and she’ll talk about me with her friends, and refer business to me later. Unhuh…
Maybe, but more likely than not. What you do end up with is a client who takes far too much of your time. For less money than you deserve. You wind up resentful, and wondering why you aren’t earning the living you know you’re capable of.
I want you to make a promise to yourself right now that you will never again lower your rates to appeal to a client. Doing so devalues your services, makes the client less likely to follow through, and worse, makes you feel terrible later. You are listening to me, right?
Now, I’m not saying you can never offer special deals
But I do want you to change how those offers are made. Here’s how it works.
If your coaching package includes:
- 1 45-minute call per month
- 1 email per day
- 1 in-person meeting per quarter
- and 1 mastermind retreat per year
And your potential client claims to not be able to afford your asking price of $1,000 per month, rather than offering to reduce the price, you offer to reduce the price and the package. Right?
So the offer you make to her now includes everything BUT the mastermind retreat. Or everything BUT the in-person meeting every quarter. Doesn’t that make sense?
You have not lowered your rates so far that you feel used, but at the same time, you’ve worked with her to create a plan she can afford. It’s a true win-win for both of you.
The same technique can be used for any type of coach or service provider unless you’re charging strictly by the hour. If that’s the case, take a look at how you can reduce the number of hours you need to invest while still providing value. Yes, sounds simple no?
For example, rather than offering four one-hour calls, change your plan to just two calls, with email follow-ups. She’ll still get plenty of value, and you’ll free up some time by inviting email questions rather than blocks of time on the phone. This is so simple…right?
So, the next time you’re asked to reduce your rates for anything, take a close look at how you can also reduce the work you’ll be doing. That way you’ll never feel as if you’ve been taken advantage of, and your clients will still get great service.
Speaking of providing service…I can do that for you. Contact me here. I would love to help you provide quality service to your clients. It’s so easy, just fill out the form and once I receive it, we can set up a 15-minute call at no cost to you. You know, if you’re over-worked I can find some solutions that will help you find the time to enjoy your life as well as get you out of overwhelming tasks that keep you burning the candle at both ends.
BTW – Do you have a website for your business? You might want to take a look at purchasing my Content Marketing Guide. It will help you put your content in all the right places. Yup…it will! And…at only $7 Bucks…it’s a real steal. So go ahead and get it…and get your content out there.
Please leave a comment below and let me know if these suggestions are helpful to you and your business.
Simple Ways to Eliminate the Maybe Clients
As in any business, you’ll spend a certain amount of time on clients who will never pay you. Really? Gasp!! Not in my business ever! What you say? You mean clients always pay you? Yup, that’s what I’m saying. So, here’s the situation.
Do you realize that…
- Website designers quote jobs that never come to fruition? Yes, it happens every day!
- Car dealers spend hours chatting up customers who will never buy? Yup, I’ve seen it happen!
- Book agents read countless manuscripts they will never be able to sell? Can you imagine this?
- And coaches spend time giving out free advice to clients who cannot or will not hire them. Oh, my!
Truthfully, it can be frustrating when you’re in this situation. And it’s definitely a drain on your time and energy, right? But there are some things you can do to eliminate those who will never become clients without having to spend time with them first.
Here is the definition of a PERFECT CLIENT!
1) Someone that trusts you 2) They receive value from you 3) A person who will pay you
OK…here are my magical ideas!
Post Your Prices
One of the most hotly debated topics among coaches and service providers is whether or not you should post your prices on your website. There are pros and cons on both sides of the fence, but the biggest advantage to posting your prices is that it immediately eliminates those who cannot afford you. Yes, this is true! If you are not comfortable doing this, then put “starts at”.
Of course, you don’t have to list prices for everything to achieve the same effect. If you offer private coaching and self-directed training packages, having a price tag of $1000 on your “entry level” course makes things pretty clear. Your private coaching is going to be at the high end. And that will eliminate all the clients that are looking for a less expensive option.
And that will eliminate all the clients that are looking for a less expensive option.
If you prefer to quote packages individually, a line that states, “Coaching packages start at $XXX” is a simple way to state your prices while still giving you some flexibility. Right? I mean if you’re going to provide this as a service you need to market it correctly.
Before you get on the phone with anyone, require that they do a little groundwork first. A client intake form should tell you everything you need to know about a potential client. So long before you pick up the phone, do a little digging. What it tells you the most, is how much work they’re willing to do. Freebie seekers aren’t likely to do the work required. They won’t even answer a simple questionnaire, so those who do fill out your form are better prospects.
So long before you pick up the phone, do a little digging. What it tells you the most, is how much work they’re willing to do. Freebie seekers aren’t likely to do the work required. They won’t even answer a simple questionnaire, so those who do fill out your form are better prospects.
Freebie seekers aren’t likely to do the work required. They won’t even answer a simple questionnaire, so those who do fill out your form are better prospects.
Not only that, but you can include in your form a question about pricing. Such as “What’s your budget for coaching?” Use a pre-defined list of answers that start with “$1,000 and up” rather than letting your potential client fill in her own amount.
And, I guarantee you that those with smaller budgets won’t bother to complete it.
Change Your Language
You know that words have power! If the words you use on your website and other marketing material are speaking to newbies or those just getting started in business, you’ll never attract the audience you’re seeking. Instead of using words like “step by step plan,” say, “advanced techniques.” Rather than talking about “easy systems,” mention high-end, complex software by name. Simple changes can help you to automatically attract the right audience.
Rather than talking about “easy systems,” mention high-end, complex software by name. Simple changes can help you to automatically attract the right audience.
You’ll still spend some time and energy on those who ultimately won’t hire you. But by making these simple edits to your website, marketing materials, and other business systems, you’ll begin to see more high-end clients.
So try it, maybe see if this method works for you. And, as a result, you may just save yourself some time.
I bet fewer of those types of clients you no longer wish to work with will disappear, just like magic! It’s as simple as that! Try it and see if this method works for you.
Remember, if you need help with your business, I’m always available for a FREE 15-minute chat. Just contact me here…I know…it’s a form! What did you expect?? Yes, you are finally finished reading this post. BUT…
Here’s something that might help you:
“To get new results you must take new actions and all actions are fathered by a decision.” – Anthony Robbins
The Importance of Making a Committed Decision
The first step in building a successful business is making the decision to do it!
I want you to think about that for a moment. The first step in achieving a successful business is to plan to do so. I bring this up because so many business owners jump into the profession and immediately focus on how to get clients. Then, how to make money, then how to market, and how to close sales. All this before they have fully committed to having a successful business, to begin with. Is this you?
A committed decision is a foundational pillar upon which your successful business is built.
That’s powerful! Isn’t it? That’s the kind of committed decision you must make about your business.
For example, you could decide to do whatever it takes. You could decide to build a successful business or to make a meaningful impact in the world. One of my favorites is beautifully simple: Commit to being a business owner. Decide to be a business owner!
Unfortunately, a lot of business owners who are “trying” to grow their business haven’t made a committed decision to succeed as a business owners. They are feeling things out, waiting to see what happens, and hoping to get clients. There is no real commitment or determination. Don’t let this happen to you! The first step to going from “trying” to “succeeding” is a decision.
Benefits of Making a Decision
Building a business is not easy. If you don’t fully commit to doing what it takes, you won’t succeed. It’s that simple.
When you make and connect with your committed decision, you will have more focus, clarity, and purpose. You will have more inspiration and more motivation. Let’s face it, obstacles will arise! If it was easy to build a successful and profitable business, everyone would be a business owner.
Your decision will remind you of the reasons why you became a business owner and why you want to succeed in this business. Right? When you deeply connect with your decision and your reasons, you will be inspired to take the action necessary to succeed.
This may sound contradictory, but the decision, in and of itself, means nothing. It is the inspired action that results from you making a decision and connecting with it every day that really matters.
What a Decision is, it’s Not a Goal
I think goal setting is great, but the power to achieve them comes from the DECISION. The first step is to make a committed decision. THEN you set goals that are congruent with your decision. But the decision comes first.
Decision: Declaration, commitment, general, comes before the goal. Example: To have a successful business
Goal: Where you want to be, specific, measurable. Example: To have 10 new clients in 6 months.
A Decision is Not a Mission Statement
I don’t want you to turn your decision into a long, flowery, descriptive mission statement. There is nothing wrong with having a mission statement for your business or life, it’s just not what I recommend right now!
I’d like you to make a decision that stirs up your emotions. Your decision should connect you with your passion for business. Your decision should strengthen your commitment, inspiring you to act even when it isn’t easy.
Decision: Clear, Concise, Memorable, Inspiring. Example: My life purpose is to be a good business owner. It is who I am.
Mission Statement: A narrative description of a purpose or aim Example: I endeavor to manifest my destiny by enabling single women to achieve greater fulfillment while contributing to the peace and joy of humanity.
Below is a short lesson on making decisions.
Assignment 1 – Make Your Decision
Make a conscious decision, a real declaration, about your commitment and desire to build a successful business.
Ask Yourself: “What decision can I make right now that will spur me into action and help me stay committed to being a successful business owner?”
Examples: “I commit to building a successful business.” “I’m doing this and not giving up!” “I’m an amazing business owner with a huge practice and great life.” “I commit to being a masterful business owner, having a thriving practice and living the life of my dreams.”
Elements of a Powerful Decision
- Clear: It should be easily understood by a 12-year-old.
- Concise/Memorable: You should be able to easily recite your decision from memory. Evokes Feeling The actual sentence isn’t as important as the feeling behind it.
- Inspires Action: The best decision you can make is one that inspires you to take action, even when you don’t feel like it.
Are You Ready? Take time RIGHT NOW and make a powerful decision that inspires and motivates you. This is a critical piece of the foundation upon which your successful business is built.
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Assignment 2 – Build Your Commitment
Now that you have made a decision, the next step is to get fully committed. The key is desire! Identify WHY you want to make it as
Identify WHY you want to make it as a business owner. You need to be fully committed to your decision, because if you’re not, you may falter when challenges arise. And there will be challenges.
It’s not always easy to build a successful business! The key is having strong, compelling reasons so you commit to your decision, take action, and never give up. Below, write down all the reasons WHY you just made a committed decision.
This is a critical step, so set aside some time and think deeply. Why is this important to you? Is this the reason you were put on the earth? Will it enable you to be the best you can be? Will it give you the freedom you desire? How happy and fulfilled will you feel? How will this impact others?
Why I am committed to my DECISION:
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Assignment 3 – Create a Contract with Yourself
Finally, print the contract on the next page, sign it, and hang it where you can be reminded of your promise to yourself every day.