Isn’t it time that we women start to value our work?
Why do we assign low pricetags to our offerings?
It seems to me that after all the conversations about how unfair it is that men make more money for the same jobs as do women, that women entrepreneurs would show that they feel they deserve equal reimbursement.
And yet, females usually put lower prices on the products, services and programs that they offer.
Come on, ladies! Don’t put yourselves down!
As I mentioned in my recent article, Charge What You’re Worth! people don’t value things that they can have very inexpensively. They feel that you get what you pay for. Haven’t we heard that all our lives?
Don’t give your target market the opportunity to scorn the worth of what you offer.
One rationalization for charging low prices is that entrepreneurs think that they will make more sales if the cost is low.
That strategy tends to backfire in four ways:
1. Many potential clients will turn down your rock-bottom bargain because they assume that its quality is reflected by the cheapskate price tag.
Just as we are leery of “seconds” or “as is” labels on clothing in stores, we tend to be skeptical of the quality of bargain basement prices on business offerings.
2. You may sell more units but you don’t earn more.
If your program is worth $3000 and you sell it for $300, you have to make ten times as many sales at the lower price. Not easy to do if people turn up their noses at fire sales.
3. Low prices tend to attract the wrong customers.
People who are lured by bargains very often turn out to be a random group. They are not likely to be your ideal clients. After all, one of the traits of your perfect customers is that they value you and your offerings and are willing to pay accordingly.
4. If you recruit non-ideal clients, you will regret it later.
They don’t bring much energy to making use of your well-crafted products or services. Instead of participating eagerly in your programs, they complain. Just one person who whines can poison the whole group.
Your ideal clients aren’t looking for bargains. They are in search of solutions to their problems and they are willing to pay for them. If you can provide them with services or products or programs that can change their lives or their businesses, they will be eager to pay for them.
That’s why they are your ideal clients.
If you reflect the great value of what you would like to sell them by assigning it the investment cost that it deserves, you are letting people know that it is worthwhile.
You must indicate the quality by pricing accordingly. People want to purchase top-of-the-line solutions.
Let them know that your can provide a premium product, service or program by charging a premium price.
Do you struggle with deciding what prices are appropriate for your offerings? Tell us your thoughts in the comments below.