Before we teamed up to form Think Creative Collective, pricing was historically a battle for both of us. When we met, it was like it was meant to be. A neon glow-ie sign! We are like two peas in a pod. We think the same. Have the same dreams. Feel the same way about entrepreneurs. But when it comes to pricing, Emylee is the ying to Abagail’s yang. Emylee tells it like it is, in her own sassy blunt style, which is always exactly what Abagail needs to hear. It only makes sense that we unveil our secret weapon and start sharing some of her amazing business knowledge with you. So today, we’re going to chat about some of Emylee’s epic pricing knowledge.
The number one question that we receive from every small business owner is something along the lines of, “What should I charge for this?” As creatives, we all want there to be a magic number that we can charge for our services or products. We will choose that number and we will succeed. But by looking at just the numbers of your pricing strategy, you are leaving so much more out of the equation.
So, first we’re going to burst your bubble and tell you that you just need to pick A number. You will never pick the right number the first time. There will most likely be price increases, package tweaks, new offerings, and offers taken off the table. The only way to get measurable results is to just pick a number, any number, at first. However, below we outline a few guidelines that you should consider when calculating your pricing.
Pick a Number That Feels Right to You But Scares You a Little
If you constantly pick numbers with which you’re totally safe, you’ll probably never see the business results you’re dreaming about. The number you go with needs to make you feel just a little bit crazy-excited about the potential of your business, while also staying true to the authenticity of your biz brand.
Add Value For Your Clients Instead of Slashing Prices
We understand that you want to create hype around your products or services, and the usual way of doing this is by having sales. Depending on what you’re offering, a sale could actually hurt clients’ perception of value. So when you want to “have a sale,” think about keeping the price exactly the same, but add value. (Think: how can you add in more of your time, can you create easy to make printable or downloads, can you add additional products if clients spend X amount, et cetera.) However, you definitely don’t want clients waiting around for your next sale before buying from you, so make sure you implement this strategically.
Showcase Your Offerings in Packages
There’s a specific psychology behind combining your offers inside packages. Our clients are able to see the value of a simple upgrade to the next package in a simple glance. Usually, the package you want clients to gravitate towards is your “middle of the road” package - it’s neither your cheapest, nor the most expensive. To your clients, it becomes the no-brainer package. Design your lowest and highest packages to highlight your middle package, and your clients will feel super confident in their decision.
As you can see in the strategies above, pricing involves far more than just picking the “right” number - rather, it’s all about providing great value, charging what you’re worth and staying true to your brand.
We want you to be able to dive in further into making your biz profitable. We want you to shake off the overwhelming thoughts that it’s “always about the numbers” and understand that there are distinct strategies that you can use to get there. Before you get there you need a plan. Yes, an actual written down plan. Some might call it a business plan. We like to call it “Party in my Biz Pants, Because Now I Know What the Heck is Going On Plan”. Rolls right off the tongue, yeah?
We wouldn’t want you to head out to make this plan without some guidance. Heck, not just guidance, but we want to give you the freaking worksheet to make the plan. Oh, and it’s free. Happy day! We created The Easiest Business Plan Ever and you can grab your free copy by heading here.
Pop in your first name and email and we’ll send it right over. Here’s what we DON’T want you to do: please do not go download it and love it but let it die a slow death in your “Downloads” folder. It serves you no purpose there.
Instead, go download it and PRINT it off immediately. Even if you can’t fill it out right this second at least have it sitting on your desk. Or taped to your fridge. Or the wine rack. Wherever you’ll see it the most and be reminded to do it.
Then just spend a half hour (seriously, don’t over think this) and fill it out.
And then we want you to call us when shit starts to go down in your business, because we told you so. Really. If you don’t call us at least email us. Heck, email us to call you and we will.
So stop reading this and get to printing. Right now. Tag us on Instagram (@ThinkCreativeCollective) in a shot of your blank piece of paper so we at least know you’ve printed it. Then we can hold you accountable.