Did you know that you charge too little?
Here’s a simple truth: Your clients need you to charge more.
They don’t want you to charge more. Because well, we all love a good deal. But if you truly want to serve your clients to the best service you can deliver, you need to raise your pricing.
You MUST be charging enough so that they get the service, results, and support they deserve.
If you are a small business and if you are looking at your pipeline and constantly thinking, what are we gonna do? How are we going to survive this?
Watch this video for more info:
We have all been there, where we pull our socks up and go out to bring in new business. We start dialing the phone, we start asking for referrals, we start doing the behaviors that are going to drive sales in the future; we start prospecting.
We bring in this intense focus, and IT WORKS.
Leads start coming in and you start thinking, Oh, I am so glad we figured out what to do, I am so glad we made it through this. But here’s what happens, instead of focusing on generating more leads you focus on production or sales. You stop the focus on lead generation.
This is where the peaks and valleys in business come from.
Changing the focus from lead generation to other areas.
If you want to consistently generate revenue, you’ve got to be focusing on lead generating activities, no matter what cycle your business is in. If you’re not, you gotta be great on charging enough to do everything profitably, because there’s not going to be enough margin because you don’t have enough leads.
There have been far too many businesses I’ve dealt with, even to complete personal projects, where Id get a super impressive quote, and we would get a great job done, but 6 months later we would reach out to get something else done and they would have gone out of business.
When doing B2B deals we always say, never pick the cheapest offer. Chances are they are trying to race to the bottom of the list and that is where they will end up, out of business, and unable to support themselves or their customers the way they want to.
If you do not charge enough, you will not be in business long enough to grow.
You owe it to your clients to charge you enough to be profitable.
If you ask me, Justin, how do you determine the price?
You should charge based on what it will take for you to be profitable.
You need to be profitable, you need to provide for your family, you need to provide for your employees. You need to cover all your expenses and make a profit. We are not in business to be a charity.
You must make sure that you can be there to service your clients’ needs.
Have you ever felt frustrated that you closed a business deal and then feel stuck because you are not able to delegate it or outsource parts of because you simply don’t have enough margin? You are stuck with doing the project yourself when really you need to be taking care of Serving an emergency that came up with another client!
Or you sign up a client and you were happy to give them an amazing deal, but as you are doing the work you realize how undervalued your services are and you start holding back the value you can offer the client?
That is an indication that you are not charging enough.
So I want to encourage you as you’re building your business, as you go out there selling your services you have to make a commitment to charge enough so you are able to deliver quality service without compromising on your well being and the growth of your business.