One of the most common mistakes coaches make is pricing their program too low. And it’s easy to think that lower prices will attract more clients, after all, if you’re just starting out—more clients is better than no clients, right?
But the problem with this kind of thinking is that when your bank account says that you NEED clients, you tend to take anyone, and, chances are, you’re then stuck with a time-sucking client who drains your energy, which could be put to better use—such as marketing for clients you really want!
“Low-end” clients often: are late for appointments, cancel at the last minute, or show up without having done their homework from the previous coaching session. And they’re usually more demanding too.
I know this from experience. I took on a client—against my better judgement—just because I needed the money, and it turned out to be a big mistake. Never again!
BUT, if the price of your program is high enough, you won’t fall into that trap. Why?
… Higher prices attract higher quality clients.
Because they’re paying more, they’ll be more serious about doing the work they are guided by you to do. Doing the homework will get them results, and, consequently, they’ll tell others about you.
Think about it—if you’re paying a coach $300 a month are you going to be as diligent as if you are paying $1000 a month? I doubt it.
So, if you raise your price, you will start attracting more clients who you enjoy working with.
BUT… before you raise your prices, there are 4 areas that you MUST fix first:
1) Lack of Confidence
You must be confident that your program is high value.
If you’re in doubt about the value, think about what it is costing your client not to fix their problem. For example, a relationship coach who helps a couple avoid divorce can save them huge lawyer fees (just for starters). A health coach can save someone the cost of illness by teaching them how to eat better.
When you understand the cost of a problem or pain your clients are having, you’ll see the real value your solution has, and you can adjust the price accordingly, and thus boost your confidence.
2) Confusing experience with expertise
Are you one of those coaches who wants to help people, but who doesn’t like the idea of charging them? Maybe you started out coaching friends, and you didn’t feel like you could couldn’t really charge them a fee. Or, maybe, you were told to start out by doing pro bono work until you had experience.
But don’t confuse experience with expertise. You can have little or no experience but still have plenty of expertise—and it’s expertise that people will pay for. So make your price worthy of your expertise.
3) Stop targeting freebie seekers
I tell every coach that they need a lead magnet or freebie to build a list—and I still recommend that. But that’s part of a long-term strategy for those who aren’t ready to buy.
You also need a short-term strategy, one for people who have money and are actively seeking a solution to their problem. These are people who know they have to pay good money to get a effective and lasting result.
Statistically, they are only about 3% of your market—but they are the low-hanging fruit. So you need a way to get those people on the phone as soon as possible. You don’t want any obstacles—such as having to sign up on a list, and go through a complicated funnel—in the way of them getting to talk to you. Otherwise, they’ll find someone else who does have a way for direct contact.
4) Stop charging for your time
People will pay more for expertise than for time, so you have to stop charging by the hour. Your knowledge, skill, education, and experience all contribute to your value as a coach, so charging people for your time doesn’t even make sense.
Plus if you charge by the hour, potential clients now have a tangible (but incorrect) way to compare you to other coaches who charge by the hour.
Once you fix these 4 things and raise your price accordingly, you should be able to attract ideal clients more quickly. The key is mindset and knowing how to articulate your true value in the first contact with potential clients.
So make sure these 4 things are fixed, raise your prices, and let me know how it worked for you.
If you’d like more help with this, schedule a free chat here: https://calendly.com/jlkoczela