I was participating in an online group discussion this week with my colleagues from all around the world.
Some of the group members were moving into coaching and they wanted to know what other people charged for their services.
It was interesting to see the differences in what people offered and what they charged and one of the newbies, (we’ll call her Valerie), laughed and said, “I’ll need coaching to charge that”.
What followed was a very interesting discussion around pricing and self worth and I thought it might be of interest for you, too.
“I couldn’t possibly charge that”, Valerie responded to one of the coach’s models.
“Why not?” asked the coach.
“I’m just starting out as a coach and I don’t know enough nor do I have enough experience”, she replied.
“It’s not about you Valerie.”
“What do you mean it’s not about me?”
“It’s about the value you provide for the client. It’s what we call value based pricing.”
“What do you mean by value based pricing?”
“Your prices are determined by the value you provide for your clients. It’s based on the transformation they can have in their lives.”
Valerie still wasn’t getting it.
“Valerie, what is it worth to someone to help them save their marriage? What is it worth to someone to help them regain their health? What is it worth to someone to grow their business?”
“It’s worth a lot,” she said and then continued with “But I don’t think I’m worth it, I couldn’t possibly charge that much.”
“It’s for the client to decide that they are worth it”, another coach chimed in.
I had never heard it expressed this way. I was so grateful to have witnessed the discussion.
How often do we base our decisions in business on what we think of ourselves without considering the value that our products or services provide for our clients.
This week, I’d like you to take a look at what you or your organisation offers in terms of the value you provide for your clients and ask yourself if you are charging enough.