How To Charge More For Your Services — Part Two.

In my last post, You’re Not Charging Enough For Your Services, I gave an actual example how other companies have the chutzpah to charge 50 times the price for a service because they can (and do it). They were charging almost $400K to build a website that could easily be built for $8-10K. So you can say this is 'Part Two'. I received a huge response for the post (and a lot of texts/emails/calls from readers - thank you!) who requested a number of techniques to help them raise their pricing. Here's the best part — increasing your price can positively affect people’s perceived value of your product/service.

1. Increase your fees for every new client — I recommend this strategy frequently to my clients. It's the easiest of the bunch — no pressure, no hassle for your existing clients. You don't have to go crazy, but you can jump your pricing by 10-25% and the new client will never know. This works with service-oriented practices where one client will never know your fees for another. Of course, will not work with established or advertised prices.

2. Increase your fees based upon their apparent wealth — This is an oldie, but goodie. If you find out their income, their home/location, their car, or their company/position, you can modify your fees accordingly by upwards of 25%-50%-100%. Trust me, it's done all the time. I know it might be a bit unfair, but if a service-person is standing in front of a 10,000 square foot mansion with three Bentleys in the driveway, they will certainly charge more than the person with a used car in a duplex.

3. Increase your fees by a small percent at a key time in the year — This one is a little harder than the rest, but it is equitable across your entire client list. Bump up your pricing at a certain time of the year and most people either won't notice, acknowledge the increase, question the rise and acquiesce, or defect. If it's a small increase 5-10% and it's done in a personal or professional manner, clients most often never defect. The ones that do leave don't value your services and are looking for the biggest bang for their buck. You probably don't want them as clients.

4. Extend: Provide an extra service — Your prices should be commensurate with the value you are providing. But there might be an additional service or product you can provide where your client will acknowledge the price change but won't care because of the extra service. The product or service might not cost you a lot, but over the long run, the up-charge on services will bring in mucho dollars.

5. Streamline: Reduce your service. Review the entire client/customer interaction from beginning to end. List out every step and deliverable — be very specific and granular. Stack rank each one from most important to least important to the client. Take the bottom step/deliverable and eliminate it. Or if you're a bit queasy about doing that, ask a few clients if they really need or want that deliverable. Most of the time, they don't even know it exists. If you cut out specific steps or deliverables and your clients see no diminution in their service, you are streamlining your product AND saving time and money.

6. Position differently. Add tiers. This is a bit harder than the rest, but the benefit is powerful. Take your offerings/products and re-package them. Add services, combine services, reduce services, move pricing around to sound advantageous and more specialized to the customer, while you save money (or increase fees). This strategy is frequently performed by many service industries in food and merchandise.

7. Change the packaging. A mainstay by manufacturers who dabble with size, weight, quantity, box, etc. Like positioning, you are altering the deliverable in some way to seem bigger, but in reality, it's less (or streamlined). Take a look at your product(s) and investigate how you can alter the packaging to give the appearance of delivering more to the customer.

Some of these suggestions are just suggestions — I'm not here advocating one over the other. Some are 'morally' better than others, but in the end, they're all viable alternatives to going out of business. In my 20+ years in marketing and advertising, these seven strategies are the most employed in the marketplace. Pick the one best for your business and charge more!

Can you think of any other one? I'd love to hear from YOU.

I Need To Have A Serious Conversation With You . . .

It's Friday — time to talk about the big things in life. I've been coaching for 15+ years and I frequently recognize certain situations and problems clients run into time and time again. I thought I would document some today . . .

1. Stay in the present.

If you live in the future, you will get anxious — if you live in the past, you will get depressed. Generally, you have eight sleep hours, eight work hours, and eight personal hours — focus on what's in front of you. It's the only thing that you have the power to change or to shape or to use. It's your canvas. It's your material. So use it well.

2. Your happiness is not something to pursue — it is a by-product of doing the right thing. 

So many people try to 'attain' happiness — and then get frustrated when it slips through their fingers. Try to focus on whatever the right thing is - and happiness will follow. Angry at yourself that you got nothing done during the day? Maybe it's because you slept in late, you spent your workday surfing fun sites, and had an overly-long lunch.

On the surface, each of these behaviors should make you 'happy' — but I've found that when I'm feeling most depressed, its usually based on actions I either did or (more importantly) did not do. Don't hunt for happiness — it will come when you do the right things.

3. You've been sold a fake idea of what success really is.

You're being played — everyday, everywhere. On TV, the street, when talking with friends or family - it seems like everyone confuses the concept of rewards with success itself.

When it comes to money, fame, recognition, praise, the rewards usually belong to someone else. That's wrong. Think of success as sustained effort of will. It begins and ends with YOU, and no one else. NO  ONE  ELSE.

Think of any goal you may have — say, you've always wanted to be a highly successful businessperson. Close your eyes and imagine it. What does that look like?

I guarantee you're thinking about big offices with lots of people buzzing around, jetting off to far-away lands for lunch meetings,  and being interviewed by Fast Company, Forbes, or the Wall Street Journal.

In reality —  you're fantasizing about BEING a great businessperson and not actually doing the work to become a great businessperson. This thinking is deceiving because it places the emphasis on passive recognition over active, sustained effort.

If you shift your focus onto your own actions and the more you create a sustained effort, the more likely rewards will follow.

It's that simple.

P.S. Are you caught in one of these three traps? Let’s talk. I’ve worked with people from all over the world who wanted to take aggressive steps in their career — call me to schedule a complimentary session.

Hey CEO, Are You Killing Yourself At Work?

You work hard. You come in early, stay late, and work over the weekends. Of course . . . you're the CEO (or the President, CFO, CMO, CIO, you get the idea). You constantly think about work, even in your sleep.

But you have the primo position, the unbelievable pay, the power to move mountains, and your future already written in stone.

But it's not enough. So you do more. And more. And more.

But what falls by the wayside? Your health? Your spouse or partner? Your kids? Your close relationships?

Yes, you might allocate an hour or two for them a week — but is it enough?

When is work enough when you keep moving the bar upwards every time you reach it?

Let's check out California-based Mohamed El-Erian, when he shocked the financial world when he announced his resignation as chief executive of PIMCO earlier this year:

"The 56-year-old said the "wake-up call" happened when he was arguing with his daughter about brushing her teeth and she left to fetch a piece of paper from her room. "It was a list that she had compiled of her important events and activities that I had missed due to work commitments," he wrote. "The list contained 22 items, from her first day at school and first soccer match of the season to a parent-teacher meeting and a Halloween parade. "I felt awful and got defensive: I had a good excuse for each missed event! Travel, important meetings, an urgent phone call, sudden to-do. "But it dawned on me that I was missing an infinitely more important point ... I was not making nearly enough time for her." (read more here)

Is money enough? How much do you really have to make? Is there a figure you're striving for? Are you reaching for the 'Rockefeller' stratosphere in wealth, power, and influence? Is it worth it?

Or let's see what billionaire Agit Agarwal did:

"He and his family decided to donate 75% of their wealth to charity after meeting Bill Gates, the world’s richest person. Agarwal has a fortune of $3.3 billion, where Gates, the co-founder of Microsoft Corp., has a fortune valued at $84.7 billion. “What we earn must be returned for the greater good of society,” the 62-year-old said at an event yesterday. “Life is not only about wealth.” (read more here).

Many times in life, one needs to step back, re-assess and prioritize the important things in life.

Why?

"Because we get so caught up in the race, we forget there's a finish line, and miss all the fun of running."

So take time out today (or even take a day off this week) to better understand the REAL important things in your life. Start putting them at the top of your list.

I work with many C-Level and Executive leaders to re-orient their lives and focus on what's really important. Drop me a line and I'll show you how.