The price you charge for your life coaching services will illuminate the value of what you do, the incredible impact your coaching has AND shift the perception you have of what coaching with you is worth.
It is such a cornerstone of who we are and how we show up in business, that it requires your awareness and focus, otherwise, it can bring all your marketing undone or prevent you from building a sustainable life coaching business.
There are many ways to fail at price strategy and here are some of the key ones:
- Pricing by industry norms
- Excess concern about competitors’ lower prices
- Attracting customers who invest based on price alone
- Belief about “what they’ll pay”
- Commoditizing your offer and allowing apples-to-apples comparisons
- Not offering premium price options
- Ignorance of basic business math
- Poor self-esteem or business-esteem and feeling that your lack of experience or success means that you don’t deserve more
And one of the most unpleasant discoveries to be made here has to do with your own thoughts rather than specific price strategy.
So many Life Coaches are looking for the perfect price to charge, but when they are told a specific price they come up with a dozen reasons why that is too much or their audience won’t pay that, or their competitors don’t charge that much, or they don’t know if they’re ready to charge that yet.
There’s no point in seeking price tactics like discounts and incentives until you get clear on all your current thoughts about pricing and understand that your fear-based ideas and self-imposed limitations will lead to marketing and selling mistakes.
So although this is a BIG topic to cover, and one I go into in much greater detail in my Coach Co. Life Coach Marketing Accelerator, I want to share some more practical pricing do’s and don’ts.
I’m sharing these as they relate to offering the type of high-end coaching packages I suggest you offer as a Life Coach and I talk more about this philosophy in Episode 11, so if you haven’t had a chance to listen to that, I suggest you do.
But here goes with the Pricing Do’s & Don’ts:
DON’T… Use words like “price, cost, buy or discount.”
DO… Always say “invest or investment” otherwise you risk coming across as a commodity rather than a premium choice.
DON’T… Discuss the price with a client until you’re sure they are a fit and you actually want them as a client as price will dictate their decision and you would rather that price is a consequence of their decision rather than the driver of it.
DO… Get clear about the type of person you want in your program and definitely listen to your intuition about who is (and who is not) a fit.
DON’T… Allow a client to negotiate their payment terms or method outside of what you offer. How you handle payment sets the tone for your credibility throughout the relationship.
DON’T… Undercharge, as it devalues your credibility and reputation. People respect what they pay more for and it is a better reflection of your value.
DO… Remember that your clients aren’t investing in you, they are investing in themselves through you. The price you charge is not a measure of your worth as a human
DON’T… Base your pricing on the time you spend individually with clients. Clients are investing in results, attention, and accountability to move forward.
DON’T… Decide what someone can or cannot afford. You have no idea how powerfully someone can step up when it’s for something they really want.
DO… Adopt the mindset of holding your clients as powerful, no matter what, even if they want to drop out of a program or delay their payments (you’ll be surprised how often this mindset will help you coach your client to make a new, empowered decision that turns it around).
DON’T… post your prices on your website unless it is an online offer that you have a sales page for.
DO… Consider offering a payment plan as one of your payment options, as this encourages conversions and gives you more opportunity for recurring revenue
DO… Remember that a payment plan is a courtesy you’re offering your clients. They are investing in a program (not paying “month to month” or “week to week”).
DO… Ask for payment in full and in advance as per the plan you are offering.
DO… Accept Paypal and Stripe and absorb the merchant fees for this.
DO… Let your merchant provider know when big changes are coming. Keeping them informed will help you avoid situations of going over monthly limits or having your funds put on hold.
DO… Consider not accepting credit cards for higher package investments
DO… Always put a time limit on when the package must be completed so that your clients don’t postpone and you have the liability of honouring the coaching sessions at a later date.
And one final DO… Expect your clients to get into action QUICKLY once they invest in your program. It’s often just the motivation they need and now they are super inspired to make a huge transformation.
Got questions? Come and join me in my free Connect & Convert group on Facebook. You can request to join at victoriagibson.com/group and post any pricing questions or challenges you may have.