Top 10 Reasons You Struggle with Pricing
Why do you struggle with pricing? Have you ever stopped to think, "Why is this so damn difficult?" Good question, right? Getting to the bottom of why you find it difficult to set prices and charge your customers confidently is important. In this video I cover the Top 10 Reasons You Struggle with Pricing.
Let me start by saying, if you do struggle, you're not alone. Most people, even bigger businesses, struggle with pricing. Or at the very least they don't understand how they can really optimize their pricing so that it's working for them rather than against them. But we know, it's important to get your pricing right. To do it well. Pricing has an enormous impact on your ability to have a profitable business for the long term. Get it right and you'll significantly up the odds.
The first step towards better pricing is to understand where you struggle with pricing the most. When you can identify where you struggle with it, you'll be clear on what to focus on first. With a few successes you'll gain momentum, build confidence and find yourself trying out bigger and bolder things.
Knowing the Struggle
Often when clients come to me they say, "I'm struggling with pricing. I don't know what to charge." When we start to dig a little deeper, to uncover what it is they're really struggling with we find something more behind these statements. For example it's quite common that people think pricing is hard because they don't know how to set the price, but in fact it's their core beliefs that are getting in the way. When this happens they feel a real internal tension or conflict around the prices they've set. They feel uncertain about the prices, aren't able to communicate them confidently and then find themselves hestiatant to put the prices in the market.
Or they believe they're too expensive, when in fact it's just that their target customers don't understand the value. They need to communicate the value in a different way. For example talk about the value you bring a customer from the perspective of what they get (concrete benefits) rather than the functionality or features of a product. Or you make the mistake of focusing on what you do and how, rather than the benefits they'll get from doing it.
Focus on Improvements
Once you know where you struggle with pricing the most, then get started on doing it better. Sometimes it's something simple, the "low hanging fruit". Small adjustments will get you started. Other times it'll take a bit more doing. Either way you'll be on your way to building more confidence in your pricing and more profit in your business. As you already know a profit mindset makes you smart, not greedy.
The Top 10 Reasons
As I mentioned, in this video you'll get a list of the top 10 reasons people struggle with pricing. Start to identify the root of your struggle. In follow up videos to this series, I'll go into more detail on each of the reasons. Be sure to check back to get them.
One last thing before I go. If you've got questions about these 10 struggles or want to see what others are struggling with then check out my Facebook group, Charge Your Worth with Janene the Pricing Lady. Regsiter, then share with us where you find pricing most difficult.