Have you ever thought about whether or not your coaching price is too cheap?
I work in a holistic fashion with coaches, teachers, and heart-centred entrepreneurs and it’s something that lights me up completely. Each week I write about something I’ve learned in my experience, and challenge you to explore a different aspect of the business you’re in.
So this week, I want you to think about what you’re offering in terms of your pricing. It’s such a tricky topic for so many of us.
Are you charging a “cheap rate,” a “quality” one, or an “overpriced” one?
Knowing your own brand takes time. It means getting experience with clients and peers to really know, understand and communicate your place in the market.
The reason it can be such a tricky one for coaches and those who work holistically is because if you’re working from the heart, then you’re doing something for the love of it – the money shouldn’t be the focus, right? However, this belief can make it so easy to undersell yourself.
Here are the key things to consider to make sure you’re truly charging what you’re worth (because if you’re undercharging and struggling financially, it’s pretty hard to show up as your best self).
1. Work Out Your Coaching Price
What are you offering people and how will it benefit them? Will it benefit them hugely, or in a smaller way? What is the quality and size of the product or service?
You need to know exactly what you’re offering people and the value your work is giving so you can compare this alongside what you’re earning. Only then can you ask yourself: “Are the numbers adding up in terms of the value being offered?”
Don’t just charge based on the time you spend directly with your clients. Instead, sit down and work out how long you spend on your work, developing it, marketing it and any other time you commit to it. With this in mind, do your rates seem reasonable to you?
Next, work out how much you’re charging per hour. Many people working in this industry start at a very low introductory price. However, once your worth and experience increases, so too should your price and value.
Sitting down and looking at exactly how much work you’re doing versus how much money you’re bringing in is crucial: it all has to balance. Keep your prices low and you risk overworking and burning out. Too high above expected rates and you might lose clients to the competition (at least until you build up a good reputation and become more known).
2. Your Price Signals Your Value
Your price sets the standard for what your worth is in the market. Make sure you price yourself accordingly, and also watch out for starting out too cheaply, too.
You want people to know your work is of high quality. But remember, this means you have to make sure you actually live up to the level of quality you’re reflecting. Back up your claims and work with integrity.
If you are charging ‘high quality’ prices, this suggests and should mean you are providing a really outstanding service. Similarly, if you’re charging too little, people might feel your work is of a low quality (for example, would you trust a mechanic who charged you hundreds below other quotes or a hairdresser who can do your hair for half the price?).
3. Know Your Value to Decide Your Coaching Price
Know your value and set your coaching price accordingly.
A lot of people don’t list their prices on their website, so it can be hard to know what the going rate is in areas (the reason for this is that for some people, pricing is totally bespoke to their clients’ needs). Getting consultancy on things like this is worthwhile, so ask some coaches you know or consult reports if it helps (if you’re not sure about pricing, this is an area I can help you with, too – feel free to drop me a message!).
Work with people on your pricing if you can and go with what feels right as well as makes sense given what we’ve covered above.
It might take time, and you might not get it the first time. This is normal – you’ll likely go through a process of trial and error before you find the perfect pricing range for you, so don’t be too hard on yourself in the beginning.
4. Be Realistic
When you’re charging too cheaply for your work, you’re not going to be able to make ends meet.
You need to honour the fact that you are working as a means to earn a living. Of course, you might truly love what you do, but don’t forget that you still need to make enough money to live without worrying about whether you’re going to be able to pay the bills. Ask yourself: “Am I earning enough to be sustainable and to meet my life’s needs?”
If you need to charge more to allow for this, then increase your prices to reach where you need to be.
5. Adjust Your Pricing Range
Does your offering cater to different budgets? For example, do you have a group offering at a lower rate and a more premium one to one rate for more specialist work?
Having pricing options like this can really open up your audience and bring in more potential clients.
Consider packages for your services, tiered offerings (such as those you see on Patreon) or subscriptions for monthly or weekly services. They all have their place. If you’re worried your coaching price is too cheap or too expensive in certain areas, consider categorising it and spacing it out into different access levels to even it out. By doing this, more people can access your services based on their budgets and needs.
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I really hope this has helped you to feel more confident about your coaching price, which is so often a difficult thing to master (and to talk about). If you still need help, I’m here – get in touch and let’s take out the stress of pricing so you can go ahead and do what you do best as a coach.