Freelancers, entrepreneurs, consultants, this article is for you!
We’ve all found ourselves discussing our rates but instead of stating it proudly, we mumble our words or throw in our payment plans, or even worse cut it in half because we’re afraid the person on the line can’t afford it. Although I’ve done all of the above, I’ve realized that this hurts me in the long run.
This article should give you the ammunition you need to never do any of those things again! Keep reading!
First: Establish Your Rate
Research what’s on the market, compare it to your years of experience and then settle into a price that feels good to you. A lot of times new service providers will set a rate based solely on the market.
Instead, compare the market research and feel into the data by asking yourself “How much do I want to be paid for my time?” “How much will make me feel good?”.
A few other areas to think about are your budget i.e what you need to maintain a living and how many clients you can serve at one time (your bandwidth).
It’s really important to make sure you’re charging an amount that leaves you feeling provided for as well.
Remember, providing a service is a two-way street.
Second: When People Haggle your Price don’t take it Personal.
Because you are a real person attached to your business, customers can assume there is room to negotiate. I get that sometimes you may want to discount your rate after hearing a (sob) story but it’s important for you to put yourself first. Understand that this same customer may go out tomorrow and use that money to buy a Gucci bag…so as much as their story can be true, it’s important for you to ALWAYS bring it back to how much value this service will provide the person, and that be the reason you are justifying its price.
My sister always tells me it’s just business. Don’t take anything a customer says to you personally. Instead try to step up as a leader and show them why paying the full price is better for them in the long run.
We both know of instances where we’ve downloaded free courses and either never finished it or barely remember the work that it suggested. Remind your customers of this. Once someone invests/commits a substantial amount financially they tend to make sure they do everything necessary to get what they put in. If they pay a small amount their effort will match it.
People aren’t trying to make you feel bad by haggling your price. They are just putting their interests first. If you are a new business owner, there’s a chance they can pick up on this energetically. Once you have more experience you’ll find that customers will not haggle with you anymore. You’ll find they pay in full and feel privileged to do it!
Third: Have Patience. State Your Rate and Then Be Silent.
You should be stating your rate to the client nonchalantly. Practice saying your rate out loud to yourself so this becomes easy for you. hold space for the person by remaining silent afterward and remember to respond to them with kindness without involving your emotions.
Never discount your rate or mention your payment plan first because you don’t know if this person is able, ready and willing to pay in full. I know you may not believe that you are worth your price, but if you’ve completed step one correctly then you should have nothing to worry about. Let fear do its thing in the background but continue to show up by stating your FULL rate regardless.
You deserve to be paid IN FULL for your services.
Decide to stop discounting your services today, even if you charge on the higher end or provide a niche service. Realize that there will be customers for you because there are billions of people on this planet and you only need a few to work with you. Be fine with hearing no in the beginning and stand by your rate. Trust me.
Let go of the need for discounting your rate today!
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*feature photo credit: PopSugar*