How undervaluing your services impacts your financial wellbeing
Updated: Nov 8, 2021
During a session with a client recently, she mentioned that she was making progress with valuing herself but was still struggling to see the value she offered her clients and how to set her fees.
After exploring her fees and packages, it became obvious that she was massively over delivering and hugely undercharging for her services.
No wonder she was struggling to make her business financially viable.
All too frequently you give up your precious time and energy to help others, without any expectations. You don’t expect to receive anything in return, and that includes time or money.
So it is in business, if you don’t value what you are giving to your clients, you fail to charge fees that are indicative of the value.
It may sound contradictory but unless the client is able to recognise the price they pay reflects the value that they receive, they will not follow through.
It is the same when you receive something for free. How often do you actually take action and read the information, or implement the learning? Probably very rarely, as whilst it is of interest to you, it hasn’t caused you to create an emotional connection in the same way you would when paying for it.
Generally it is used as a way of getting you to provide your email details so you can be tempted by low cost, high value offers, increasing over time to the point where you buy into the high price, high value offer.
To really appreciate something you have to pay a price reflective of the perceived value.
The perceived value are the benefits that are seen and unseen, so for coaching it could be you to step outside your comfort zone and take more inspired action. Whereas the unseen aspect would be the increase in business due to you are taking more focused action.
Once you ‘know’ clients will pay what they perceive to be a price relative to the value you are giving you can start to charge higher fees. If you struggle to mention the higher fees help yourself get over the fear of being seen as a fraud or not being worthy by starting slightly lower, not too low though. Then increase the amount every 5 clients until you reach the point where you are confident to mention your fees.
I am sure you can appreciate things changed drastically for my client once she recognised her own worth and how she is able to help her clients through her knowledge and experience change their lives for the better.
If you are struggling to set your fees, or recognise the value of your products, ask your clients for feedback, specifically around value and price, get them to tell you what they experience working with you.
If you haven’t had many clients yet, but have shared skill swaps or had clients that helped you qualify, ask them. They will give you feedback even a testimonial.
Let them be your guide you may well be surprised how much they appreciate what you do for them.