I know, I know…when you’re just starting out as a mompreneur, it seems hard to put a big price tag on something you offer and feel good about it. You worry if you’ll get any buyers/clients, and that you can’t compete with “the big dogs” who’ve been out there doing something similar to what you do for longer than you have, and you think the best way to get more sales and make more money must be to lower your price.
Don’t get me wrong–sometimes, you offer a low-priced item for the right reasons and it can be just the thing to get a new client to hop on board. But other times, and especially when you wind up dropping your fees lower and lower to the point that you know you can’t be profitable, it’s the wrong strategy entirely.
I follow Dave Navarro, The Launch Coach, and get a lot of great insight and ideas from his blog. His most recent post caught my eye since he addresses this exact topic. In fact, he goes so far as to say that “Low-priced products tell your audience to devalue the information within.” I’ve said this before many times, but there is a psychology associated with pricing your offerings and how valuable they (and the people who buy them) feel they are.
Think about it: What message are you sending your audience about how valuable you and your services are? And what are you subtly telling them about their own worth when it comes to your fees? Are you content with being the “bargain coach” or the “lowest priced virtual assistant”? Do you want to continue to attract clients who can barely afford to invest in themselves?
Rather than trying to compete on price alone with others who serve your target audience, look for ways to offer more value and better service than your competitors do. And make your rates relative to the VALUE you offer!
Are you struggling with setting your fees (and keeping them where you want them to be)? Do you find it hard to know the value of what you offer? Leave your comments below and we’ll discuss it.