Recently, I wrote an article about knowing your worth and the value your company brings to the community. Today, I’m writing about the process of knowing your worth and having the confidence to raise your prices.
Disclaimer: I’m not certain if today’s article is a “how-to”, or more like a “confessional”, so bear with me if I’m not coming off as an expert here. Sometimes, we just have to go through it to better comprehend it. (Kind of like parenthood or buying a house for the first time.)
Here I am, a sole proprietor, who wants to grow the business. My personal business goal for 2013 is to delegate more, grow my part-time team into a full-time team. I’m discovering that letting go and delegating is harder than I thought it would be. Why? Because finding the right team members isn’t as easy as I thought it would be, and because I love what I do so much, I feel like I’m giving up my favorite things to others…and that’s hard.
So, I’ve found a great group of people to form my team, and I want to keep them busy with fun, profitable, ample work. Yay! Finding the right people is getting easier.
Next, I need to make certain that my pricing can support a team, and I discovered that I needed to change my pricing model. For years, I’ve worked off the $1.00 per minute model. In the last article about knowing your worth, I thought I’d shift it to a $2.00 per minute model. After doing some math and a long hard look at the viability of that option, I found out it wouldn’t work.
I took a long, deep breath, and I decided to buck up and put on my courage cap. I changed our pricing model to a flat monthly fee of $200.00 for our basic Social Media Optimization package, plus $2.00 per minute for special projects.
Here’s the confessional part…I notified all of my clients that it would take effect May 1st, and I’m waiting to hear the other shoe drop. I will be perfectly honest that I’m a little scared that some of my clients may cancel their plans to work with me, and I know that is a real possibility.
However, when you compare our pricing to other companies that do our type of work, we are still in the lower range of the industry’s pricing standards. Still, I know I will soon be defending our stance and let the cards fall where they will. Changing my pricing model is the only way our company is going to grow from a sole proprietorship to a reputable small business.
Ah, I feel better now. Thanks for reading my confession and understanding my current phase of growth as a business owner. I still feel so green behind the ears sometimes, but I appreciate those of you who are cheering me on from the sidelines.
So, if you’d like to chat about your business marketing needs, contact me for a free consultation. Together, we’ll make marketing fun and attract more sales opportunities for your business. Contact Jennifer Filzen at 831-324-0816 or email@example.com to schedule your appointment.