an emerging philosophy on pricing
I’ve been thinking a lot about pricing. Here are my current thoughts:
Industry rates are benchmarks or baselines of what is average or normal in an industry. They are just that. Industry rates are not indicators of the actual value (or COGs) for a service, product, or good. Therefore, I don’t have to blindly jump on board or in alignment with Industry rates. Fellow business owners, service providers, or aspiring entrepreneurs: you don’t either.
When you look at the rates across your industry, what story do they support? Who profits from this story? What do you think about that? Do you agree with the story supported and the folks profiting? Is anyone being exploited in this narrative?
On coaching:
When it comes to coaching, industry rates and justifications (especially those perpetuated over social media) support a narrative about investing and stretching oneself that personally, I don’t subscribe to. The narrative includes, but is not limited to:
Investing big chunks of money into a coach or a program is investing in yourself and it should be big and stretchy. Do it anyways.
The investment amount is reflective of the value of the container, the quality of the coach, a percentage of ROI, or all of the above.
You are only empowered when you say yes. Your gut or intuition is right only when it says yes. (AKA when you invest the money).
Yet, as my coach recently said to me: ‘my clients don’t need to max out a card to show up for a call.’
I used to believe that the amount invested in a coaching container dictated the caliber for which a client would show up. If the investment was stretchy, they were more likely to show up. However, after coaching a wide variety of people over the course of years, I’ve come to learn that it’s not the amount invested, but ultimately the type of person.
&& to be clear —
Investments in coaching absolutely do not need to be big and stretchy. Your nervous system doesn’t need to explode at the thought of (or act of) deciding to hire a coach or join a personal development program.
An investment dollar amount in coaching or a personal development program (or anything really) is not necessarily reflective of the value of the program itself or what it will mean for your life. A high dollar amount doesn’t guarantee quality, ROI, transformation or results.
Saying yes doesn’t make you empowered. Saying yes when you feel no most especially doesn’t make you empowered. Saying no is one of the most empowering things that you can do for yourself, most especially when you mean it. It takes incredible courage to say no. Flex it. Wield it. Anyone who tells you otherwise is likely trying to scam or exploit you.
Only you know what’s best for you. And what’s right for you will be right for you next week (next month, next year, etc). There is no rush. Anyone who tries to take away your power to know and decide for you, is likely trying to scam or exploit you (knowingly or not).
Finally, much of the coaching industry (and what is taught within it) parallels cults and scams. It doesn’t mean that the industry is bad, that all coaches are bad, etc. I personally think that it indicates a lack of critical thinking in a space that is supposed to foster critical thinking, supporting true personal development and building self-trust.
back to pricing in general (but also related to my work and services):
Reciprocity matters. Whether or not something feels nourishing for both the consumer and the provider is more important than what is possible, what the norm is, or what the perceived value may be.
Does it feel nourishing?
Does it feel reciprocal?
Is it sustainable from a business perspective?
Your work matters. Pricing your work at a point that can financially support you without burning you out is vital.
Pricing your work in alignment with your values is vital.
Being accountable for your pricing (to the extent that you can be) is also important.
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More to come.
In the meantime, if this kind of topic is your jam, find more in my business at The Corporate Psychic, specifically in the resources index (it’s free).
never hesitate to reach out if this is a topic that you want to talk more on. It’s a current ferment in my philosophies on business.
simply click the “tell me more” link below ♥️
is coaching a scam? | is coaching a cult? | pricing in the coaching industry | why are rates so high for hiring a coach? | why is coaching so expensive?
