Deer in Headlight Syndrome
In the past, every time a prospective or existing client challenged or questioned me on my fee, I would become a deer in headlights! In my head, I would be shouting “I cannot believe that this is happening again!” and a few choice other phrases I won’t mention here.
One of the hardest and biggest lessons for me to learn and assimilate into the very core of my being has been to sell the VALUE and RESULTS that my firm provides and NOT trade dollars for hours. Once I finally got this concept, I immediately increased my annual revenue by $100,000! No lie!
I had to learn to place a value around the skills and knowledge that I have. It is so easy for me to get to the bottom of a client’s accounting and operational issues within the first hour of meeting with them. What I had forgotten was that I didn’t suddenly wake up one morning and know accounting or how to help a business run more efficiently. I had acquired this knowledge through years of education and experience AND that has VALUE. That expertise is what I am sharing with my clients, and what they are paying for.
What comes easy to you? What is it that comes to you so easily you don’t give a second thought to it? The answers to those questions are the VALUE you are providing to your clients. Most likely, it is also the part of the work that you enjoy doing the most!
Once you have determined the value you are providing to your clients, create different ways for your client to select your services. You can establish a pay-as-you-go-rate or packages and retainer fees with different levels of service such as the no frills package, basic package and deluxe package.
Give your client a choice and they will always pick your biggest package. Load it up with value like unlimited e-mail and phone calls, a monthly in-person meeting – and base the price upon what you are worth – not what you think the client will pay or can afford. You will be pleasantly surprised how many say YES when you are clear and confident about the value and results you provide.
It has been a real pleasure working with Linda. She has helped me to see what area of my business is really my passion and focus my attention on that area.
Thank you for this post!
Heaven knows, when you make it look easy, the client tends to think you don’t really need to be paid too much! It’s like the old joke – the repairman fixes the machine with the turn of a screw, the client says, 100 dollars for doing THAT? – and the repairman says, no, 5 dollars for turning the screw, and 95 for knowing which screw to turn.
Here in India, plumbers and electricians charge a fixed fee for visiting your home, then linger on trying to make the problem look difficult and impossible to fix. With me, they have simple instructions: Just fix it quick. And then I pay them what fixing the problem is worth to ME – often 3 times of what they would expect. Needless to add, I have THEM calling ME regularly, if not coming over the moment I call.
The point I am making is that we also need discuss with clients just what results they have to expect at the end of the effort – once we are agreed on that, fixing the price becomes easier.
Thank you again for the advice. It sure came in at a time when I needed it!
Best wishes,
Shiv
Linda, I immediately printed out this article to give to my husband. He is a freelance marketing guru and is constantly in “deer in the headlights” syndrome. It’s not helped by the fact that we live in Hawaii, a culture that is deep and rich in its tradition of devaluing people and their worth — particularly in the area of non-tangible goods like creativity and experience.
I hope my husband will take your advice to heart. We could really use the extra $100,000 a year!