These questions cross the minds of entrepreneurs from time to time, whether you’re just starting out or whether you’ve been in business for many years. I’ve highlighted 4 key factors to consider when setting your prices.
Ask Your Ideal Client – I believe that surveying your ideal client is a great way to get feedback on your prices. The trick here though is making sure that your questions are clear so that you receive the information you need to consider when setting your prices.
Your Cost of Doing Business – What are the costs involved in running your business? This is important because you want to make sure that your fees will cover your expenses. Some entrepreneurs base their prices off what others are charging. I don’t recommend this because you fees should be based off of your business needs.
What Do You Want To Make – Beyond the cost of doing business, what would you like to be paid for the services you provide? What do you want to be paid for the value that you bring? This is often an area that many entrepreneurs overlook but you deserve to be paid for the value, knowledge and expertise that you bring. However, this is a major expense that often times gets overlooked when it setting your fees.
Neiman Marcus vs Walmart – Which one do you want to be considered in the market and industry that you serve? Are you the low cost provider? Or do you want to be the exclusive provider? Remember, there’s a customer that shops for shoes at Neiman Marcus and there’s a customer that shops for shoes at Walmart. And both are making lots of money. You decide who you want to work with and set your fees accordingly.
There’s a client willing to pay for your services but you must first get very clear about the four factors above. Don’t be afraid to increase your fees if the market can bear it. Fear will stop you every time, if you allow it.
Want more information on how to set your fees, boost your profits and achieve the financial success and freedom you desire? Then I invite you to join me for the “3 Hidden Secrets To Boost and Accelerate Your Profits“, on Thursday, Dec 5th at 6pm CST / 7pmEST.
Don’t miss this profit building event! Register and get all the details here!