So in today’s video I want to talk to you about why not having a pricing model is holding you back in your business. So, before I go into that, just remember if you find this video useful, then please remember to like, share, and follow and also keep an eye out for upcoming videos.
So, let’s talk about what a pricing model is. A pricing model is a system you have in your business to actually consistently be able to charge the right prices to your prospects and your customers. So, that could be a little scrap of paper you’ve got, it could be a booklet you’ve got with a table in it, or it could even be a spreadsheet that you use to work out how much to charge.
So the reason why charging the right amount is important and having a pricing model is important is because without it, you’ll end up doing one of two things. Charging too much, at which point you’ll start annoying your customers and your prospects because they’ll see your service as a bad value and you’ll end up with a bad reputation or you’ll end up charging too little at which point your team will end up overworked and end up quitting, or you’ll end up overworked and having some sort of breakdown because you’re not charging what you need to cover your costs.
So, when you’re building pricing model, it has to factor in quite a few things. It has to factor in the capacity in your business to produce work. It has to factor in things like your overheads in the business and the most important thing it needs to factor in is how much money you want to be making out of your business to reward you for the work you put into your business. So, once you factor in those things, it’s possible to actually put a pricing model together that will outline exactly what you need to charge for each type of service that you’re providing because it’ll be based on some sort of mathematical calculation that’s based on your overall business goals. That’s why not having a pricing model is holding you back because the prices you’re charging aren’t aligned with your goals for your business and your personal life and that means your business will not be in a place that it supports your personal life. So, if you want to find out more about how to build a pricing model, then get yourself booked in for a game plan session where we’ll talk to you about the next steps and how we can support you in actually achieving that pricing model and building your dream business. So, get in touch. I’d love to hear from you and get yourself booked in for that game plan session.