Comments on: How to handle a classic objection to value pricing

By: ct_roy

ct_roy — Wed, 31 Dec 1969 19:00:00 +0000

simple - clients will make an informed decision themselves

like one of your previous posts

q.) what is the right price to charge a client for a product/service?

a.) whatever the client is willing to pay.

it's simple market dynamics - if people are willing to pay 100k for a service - then so be it.

the amount of time is not what is important - the deliverable is what's vital

so, if the service is that valuable - time is irrelevant.

to pawn a well used but often abused phrase

"it's quality not quantity"

By: eych

eych — Wed, 31 Dec 1969 19:00:00 +0000

It all ends up with the same. The customer is paying for your time. What you actually ask is how to charge the customer much more for your time then you currently charge.

By: jason

jason — Wed, 31 Dec 1969 19:00:00 +0000

i’d like to see some guidelines or tips to sitting down with the client and discussing the value of the solution. i’ll check out those books.

By: Ealameda

Ealameda — Wed, 31 Dec 1969 19:00:00 +0000

I would guess he points them back to the personal value that they gain for that service.

Eliminating or correcting one limiting or self-defeating behavior could very easily result in significant financial gain for the client. And at the executive level where he has positioned himself those types of gains are in the hundreds of thousands of dollars.

So you pay $100,000 for one year, but the end result is that you now earn at least $300,000 more each year for the rest of your life. Faced with those kind of results, the issue quickly changes back to the value that the consultant can bring

By: IlliasD

IlliasD — Wed, 31 Dec 1969 19:00:00 +0000

I’m guessing he uses risk reversal, putting all the risk on him self, by doing things like no-fee cancellations, money back gurantees and what not.

By: Nerveman

Nerveman — Wed, 31 Dec 1969 19:00:00 +0000

I would have to agree with Ealameda. It’s not the amount of time the they are investing in, it is the perceived results.

By: not given

not given — Wed, 31 Dec 1969 19:00:00 +0000

Regarding trading time for money, some prominent experts claim you don’t have a real business if you can’t leave it for a year and it still keeps running.

Ref: Robert Kyosaki, “Rick Dad Poor Dad”
Ref: Michael Gerber, “The E-Myth” (great book!)

Just depends on what you want.

By: jgoddard

jgoddard — Wed, 31 Dec 1969 19:00:00 +0000

easy, I’ve had numerous similar discussions with clients who question me charging “too much” because they can get a web site for $500… you explain the value of your service as opposed to those other guys, I’ve had that talk with a couple clients, and each time the client has still decided to go with me.

Sometimes it’s good for them to bring it up because it does give them peace of mind about my service… sometimes I add that to the pitch depending on the budget and reactions of the client as well…

I think you should always justify your price. You can charge whatever you want as long as you can justify it.

By: webflavor

webflavor — Wed, 31 Dec 1969 19:00:00 +0000

I would say this: �I understand how you feel and other clients initially felt the same way. However what they found was, the feeling of fulfillment they consistently felt at work as a result of my personal coaching was worth double their investment.�

By: Gil

Gil — Wed, 31 Dec 1969 19:00:00 +0000

Reputation, perceived value, and ROI are what justifies a price based on value. If this coach meets with CEOs of Fortune 500s, then $100,000 is a drop in the bucket compared to the millions of dollars that could be realized as a result of this one behavior change (which, corrected by a leader in the organization, infiltrates and influences the rest of the company).