I had a clarity call with a client of mine yesterday. (No idea if he wants me to name him)
We were discussing offers toward the end of the call. Different pricing ranges, to be more specific. I mentioned a good rule of thumb I use to price my consulting calls.
“Think about how much you want to charge per hour. Then double that.”
There are a few reasons for this.
1) You’ll always undervalue your own competence and experience. This is a fact. The knowledge and experience you hold seem logical to you. You’ve forgotten how much it took for you to learn them. You’ll take that experience for granted and overestimate how much other people know. And so you’ll believe your help to be less valuable than it actually is.
2) More money helps you provide a better customer experience. It doesn’t matter what type of offer you have. This is always the case. You can use that money to reinvest and educate yourself on certain topics. This will improve your advice and it’ll improve the likelihood of your client’s success. More money also allows you to take fewer clients. This means each client will get more attention and focus. And this is far from a full list of improvements.
3) The ultimate goal is always for the client to achieve success. In most cases, especially consulting and coaching offers, the client needs to commit and actually implement your teachings themselves. And the best way to ensure the client will take action is by asking for a higher monetary investment. If the investment is too low to matter, their investment in the project will be too low to see results as well.
Now there’s just one drawback to my rule of thumb. It could be better. A better rule of thumb to use would be to 3x your original price. This will get you closer to the actual price people want to pay you.
The problem with that, however, is your own mindset. You need to believe in the price yourself. The client will feel your doubts. And nobody is going to work with someone who doubts themselves.
And if you think I’m crazy, consider this. During the clarity call, we talked about my rate. Which currently sits at $199 per hour. And this is what he told me (paraphrased):
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When you mentioned your price of $200 per hour, I thought that was a steal and I just had to book a call with you.
I’ve been following you for so long and I’ve seen you build your business with my own eyes. I knew it would be worth it.
I would’ve happily paid $300 as well. You could definitely increase your prices.
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And so that’s exactly what I’ll be doing. It was about time to raise my prices yet again.
But not without a proper announcement.
As I’ve said. The investment for my clarity call is $199 for the moment. I’ll be taking on one more client for the same amount, after which I’ll change it to an investment of $249.
If you had considered hopping on a clarity call with me before but weren’t yet sure. Don’t hesitate any longer.
Click the following link to learn more about my clarity calls (and book one as well): https://calendly.com/alexvandromme/clarity-call