When you have a business plan, it is something that constantly changes and includes all aspects of the business.
Sometimes it involves making product pricing changes after your initial launch period is over. I recently updated my pricing to match the level and quality of my services provided. As a professional and as a woman I find it hard to price myself but I do think this is across the board for most entrepreneurs. Deciding how to price your products and services, especially with services, is a hard thing to do. For initial grand opening celebration purposes, my pricing was low.
So low, in fact, that for each of my clients I was underpaying myself for the amount of hours I was spending to get their perfect resume, cover letter, LinkedIn profile and college apps and essays. I recently upped my prices to match more evenly the amount of work and expertise I bring to the table. My grand opening pricing was always meant to be a short-term strategy to get the word of mouth out there. It was value pricing but at the same time it might have been a negative to my business because the thought might have been that "$50 is so low, maybe the service is not good."
As a business owner, the decision to raise prices is always a tough decision to make because it might yield less customers, which is never good. However, my value is in my time, expertise and attention and like any business owner, my pricing needs to reflect that.
My partnership with Wagner College Office for Lifelong Learning is part of what has helped me realize it was time to retire my celebratory launch pricing and go to my long term strategy pricing plan. At my upcoming seminars this November, I am providing all of these services including resume, cover letter, interviewing, media training and brand management for $99/per session or $229 for all 3 seminars. This will be in person and with some one on one training to be had for these great prices. For my long term pricing plan, it is $150 value pricing for just resumes and cover letters which are done primarily via email only versus these seminars which give you the whole Next Step package of services, knowledge and more to build out your next step with my one on one consulting advice as well as my resume, cover letter and LinkedIn expertise.
It is a good wake up call as an entrepreneur to realize what your work is worth even if it can be challenging to ask for that amount. In many ways, it is like a salary negotiations - tricky for all because you can always price yourself out of the market. I read a recent article about a potential hiree who did not disclose his salary requirements to the company and then it came out much later in the process that the company was almost 30k short of what the hiree expectations were and the lament was it would have saved everyone time and effort to have known this in advance.
So in running my own business the question is still there on pricing. I started off very low to celebrate my launch and now have updated my pricing to reflect my value added that I bring to the table. What do you think about my new pricing? Do you struggle with the same things re pricing and/or salary negotiations as an entrepreneur or as a job seeker? What is the price point for you - do you know and plan this out in advance or wing it? Do not forget to click below to find out more about my seminars with Wagner College Office for Lifelong Learning and I hope to see you next week! Happy hunting!
Lisa Vento Nielsen