“Charge your worth!”
If I had a nickel for every conversation in the online space about “earning the income you deserve” and “charging what you’re worth…”
…well, you know.
The talk goes like this:
Someone on FB will say, “I raised my prices and one of my clients said I was too expensive for her. I’m heartbroken.”
And then someone else comments, “Oh honey GURL, drop that customer like a hot potato! They are NOT your ideal client.”
And then there’s a chorus of “Mmm hmm, preach!” “HUGS! {care emoji}” “Tell that nickel-and-diming bargain hunter where to put it!” “Kick them off your subscriber list!” “You should kill this person!”
Hold on. What?
I agree we don’t want to cater to cheapos.
And it’s true, if someone doesn’t want to pay your price, then they’re not your ideal client. Your ideal client wants to pay you a hundred times MORE than you charge.
…And, wants to send you first class plane tickets to anywhere in the world, just as a tip. And then wants to gift you 50 million dollars (after taxes) because you’re the first person who really ever “got” her and could have a truly smart conversation about the Real Housewives of NY with her and make her feel alive, and her grown children are ungrateful jerks, so she’d rather give her money to you. But she gives it to you anonymously so you won’t feel obligated. It’s a no-strings-attached gift.
OK, maybe that’s just my ideal client.
My point is, of course your ideal client is someone who wants to pay whatever you decide to charge.
But are you “worth” what you charge? And do you really get to decide that?
No.
What decides it is what people are willing to pay.
If I sell $10 hamburgers and decide, “screw this $10 bullshit, mama needs a Hamptons beach house” and jack up the price to $500 per burger just because “that’s what I’m worth,” who’s going to pay?
If all the burger lovers go across the street where burgers are still 10 bucks, do I say, “Fine, go! You’re not my ideal clients anyway! I wish you e coli –I mean, love and light”?
No. I say, shit, I’d better give them a good reason to pay $500 for a hamburger.
Like, it’ll take you to a Prince concert* and then have sex with you and tell you you have a rockin’ body. Or, it’ll babysit your kids for a month. Or undo all the sun damage from when you were 15 and sunbathed lying in the Caribbean water, the shallow part where it was most reflective, with baby oil on your face and arms.
[*UPDATE: Due to sad developments since publish date, Prince concert has added approximately 50 billion dollars of value to said hamburger]
Does your hamburger do that?
In other words, do you have years of experience? A successful track record?
People who’ll vouch for you?
A wait list?
Ummm….talent?
If you’re expensive for no reason other than that you think you “deserve” to be, or don’t do a great job making it clear why you’re worth the price, then good luck finding those “ideal” clients.
How do you make it clear that you’re worth it? How do you show the value of your offer?
With your copywriting, of course. You can get help with that here.
You deserve love (I guess). You deserve to be treated with dignity. You deserve those shoes you just bought, since the deed is done and why make you feel guilty about them.
But do you inherently “deserve” a certain amount of money for the thing you do? I say no.
Now you.
Do you agree? Do you like to “charge what you’re worth”?
TELL ME IN THE COMMENTS.
That is, if you think I deserve comments.
RELATED: This episode of the Copy Chief Podcast with Kevin Rogers (and me):
Price Yourself With Confidence With Laura Belgray
This cracked me up. Again. I must have read it before, right? Or some version of it. Good stuff. PS. How do you stay away from spammers in the comments? Is that a full-time job for someone?
I work in a field made up almost entirely of women (98% of my cohort were women). We’re chronic under chargers. I see my fellow speech therapists who have been through six years of university charging less for speech therapy than what their kids are charging for babysitting- no kidding. It always irks me when I see someone with zero training, and zero student debt, charge more than an experienced therapist. But then I have to remind myself that my field sucks at marketing, self advocacy, and so on. On the one hand, yes people need to get real about their prices. On the other hand, I think that in the female dominated professional world, most women are probably under charging. Just my two cents.
This is Amazing, Easy to understand to know what you’re and implement in your life.
Thanks for this worth sharing with us.
This blog just rocked my world! ????
Fabulous post…I was just thinking about all of this in the past few days. My goal is to offer my clients priceless value. Yes, I am a single mother, yes I need to make a good living, but money is not my starting board. My motivation is to honestly help my clients experience peace of mind, clarity and joy through getting organized and letting go of clutter and chaos.
My favorite line in your post…“Fine, go! You’re not my ideal clients anyway! I wish you e coli –I mean, love and light”? That and the hamburger that offers you sex…etc. I might want to buy that hamburger….omg the panacea, the fountain of youth, who knew? All in a tiny hamburger. I assume it is tiny because it must be gourmet…they are always hugely expensive and small amount food wise.
I am sick and tired of the ‘entrepreneur marketing world’ spewing from a place of money, money, money. Money is a means to an end. For me, make money your God and unhappiness may soon follow.
Thanks for your brilliance. And to all those who commented…you guys are such great thinkers and love your comments.
Would it disappoint you to learn that I love making money? And talking about it. Me, I’m tired of the entrepreneur world coming from a place of abundance candles.
Nice to see someone speaking true words for a change! Great post!
I coulda’ sworn I just read an article about that $500 burger! 😉
Thanks for the great laughs Laura!!
Whenever I see those comments/posts about people not charging what they’re worth. I’m like, “How do I find these people, so I can take advantage of their low, low prices and phenomenal results?” Seems I always find them after they’ve wised up.
Haha! Right? I think you can find some in the Philippines.
Laura, you’re charmer who has pulled out from behind me on the road while I could not possibly catch up with you.
Just to add a corny statement to a customer from my door-to-door selling days,
“Mr. Schickelgruber, I couldn’t possibly tell you what this product might be worth to you. Only your heart can tell you what it’s worth in terms of your children’s delight, as you can see from their smiling right now.”
“Schickelgruber” was also the name of Hitler’s grandmother.
at you right now.
Dad, I didn’t know we were in a race! If we’re driving, you definitely have the advantage.
I love that you sold bibles to a guy named Mr. Schickelgruber. Or were they encyclopedias?
Do I have to go see Prince first? xxoo LOVE this post most Miss Laura. OMG. LOVE <3
Thanks, Rick! You do not have to go see Prince first. But you have to have sex with a hamburger.
Woooof. I loved and hated this article simultaneously, because I’m about 12 days away from a price increase and I’m shaking in my boots.
I’m not charging more money because I think I’m “worth it” – I’m mostly doing it because I’ve gotten too busy with clients and have gotten to the point where I need to raise my prices so I can take less people and give them even better service with the extra time I have.
Setting higher prices for myself is scary sh*t. Especially since I’ve only been in business since March.
I do think my work is worth what I’m about to charge, but I agree that the cost of the service should be what the service is worth, not just what money I want to make.
Thanks for addressing this topic!
Girl, that’s exactly why you raise your prices. High demand! It’s the one thing I took away from Econ 101. Also, that by not using the coupons that fall out of the newspaper, we’re damaging the economy. But I’m too lazy and too young to bring those to the supermarket.
When you have high enough demand, enough that you don’t need every client, it can be about what you want to make. Especially if someone asks me to do a quick turnaround assignment, like on a Saturday, what I ask myself is, “What amount would make it worth it to me to take on the extra stress and work instead of going out?” And that’s what i charge.
Wow! Laura. Sometimes you just nail a topic and get everyone out of the woods to comment.
I happen to ADORE capitalism, but can’t stand people who pop out of some program and think that they can charge the same as someone who’s done it for 20 years.
I’m a graduate of one of Tony Robbins’ coaching programs, does that mean that now I get to charge his rates now? Umm…no.
Charge your worth. But first, KNOW your worth. And I’d also add, know what you’re promising. Happiness? Dreams fulfilled? Multi-million dollar incomes? Perfect relationships? Please. Here’s how my site will look: “Want to be less of an asshole to those around you? I can help you with that.”
And I’m going to charge a boatload for it. (a rowboat at first and then a shipload)
If you can help assholes stop being assholes, and there are enough assholes who are consciously unhappy about being assholes, then you’re sitting on a GOLDMINE. Especially since assholes seem to have a knack for making money. Think how many times you’ve heard the phrase “rich asshole” vs “poor asshole.” Go get ’em.
Brilliant.
A conscious asshole is my demographic. I’m on it.
Doesn’t the successful use of hype circumvent the various requirements you list for justifying elevated prices? (Years of experience, a successful track record, people who’ll vouch for you, a wait list, talent.)
In other words, please give me the steps one has to take to be Jeff Koons or Damien Hirst. How does one attract exorbitant prices for worthless objects?
Jeff Koons’ and Damien Hirst’s artistic talent is subjective, but there’s no denying they have a talent for creating something the market wants and fights over. The scarcity and demand creates the hype, which creates more demand, more scarcity, and higher prices.
There is something missing here … I NEVER felt worth what I charge because I grew up in a home where I was taught that if work was fun, or flexible, I must be doing it wrong. We are supposed to hate it … otherwise it isn’t work.
LOVING what I do always flew in the face of the above. I never felt like it was work, and had a low-grade guilt for years … after a time … oh, forty + years, I came to realize that what we grow up with feels normal. It was time to BREAK with normal, how do we do that ?
For me, I had to reteach myself that I AM WORTH what I charge EVEN if I love what I do. And, I’ve learned to PRE-QUALIFY clients before I spend a lot of time wooing them. Are they already spending money here ? Do they understand why they need to ? Why spend time with clients that either don’t understand what they need, or don’t have the means to pay for it.
We are worth what we make. We can make anything we want.
Sure, we’re worth what we make if people continue to pay it. That’s proof that it’s worth it to them. But we’re not worth whatever we want just because we feel we are. We have to find some way to show we are, so people pay it.
Feeling like you’re worth what you charge is great, as long as your market agrees.
$500 burger…that’s got to be way better than the Burger King double cheese for $1.49. I’m going to start saving for it right now. The BK one I mean.
Someone out there can afford your price, and the bigger factor in their willingness to pay it is based on what their competition is willing to pay. Not sure if that makes sense. I hope not because then my whole business strategy is laid out for free. Since my backspace key doesn’t work at my multi-million dollar company, I have to keep explaining. If I sell burgers that real estate developers adore, and you are wanting to convince a developer to turn your rat-hole neighborhood into a SOHO rathole, then that $500 burger spot is the only place you would want to take them. It’s not a difference between the $10 and the $500 burger. It’s the difference between the Gazillion dollars being brought to your neighborhood and Nothing. With a capital N.
So when I hire Laura for her ultradope copywriting, I’m doing it because my competition is either hiring her as well, or too stupid to understand how important her Jumbo style is to business. I can get an edge, or at least still stay in the game.
When I quote my ultra-exorbitant $100/hr for dance lessons, and someone tells me that such-and-such charges $65, I tell them that “such-and-such” is a silly name, and they should go to that person and take some classes. If it works for them, great. If it doesn’t they will come back to me and pay $100/hr. If they can’t figure the math out, I tell them the end result will be that they paid even more to get what they want.
The goal is to make me look cheap in comparison. My pleather pants help to further convince them.
I think it’s lunch time, gonna root through the dumpster at the $500 burger joint. mmm…truffle sauce…
sGB
You ARE the $500 hamburger, Shaka. Always have been.
Nobody dances like you or knows how to teach like you. The rest are WEPAAAAA wannabes.
Maybe you need some before Shaka / after Shaka videos on your site to show what a difference your teaching makes. And more images of you with awards, on stage, teaching at conferences, etc. Remind them that you’re The Dude.
Then again, the pleather pants should do the trick nicely.
Thanks for bringing this up. I feel like people are always pressuring micro-entrepreneurs, especially coaches, to “double their prices”, without knowing what they charge or why they charge it or who they’re marketing to or sometimes even what the market looks like – all very important in choosing a price that makes sense and will succeed in the market.
I worry that if everyone charges X disgustingly high amount, people who really need the service aren’t going to be able to afford it. I don’t want to price my services out of reach of the people who really need them, retaining only clients who practically bleed money just because I like to get paid a lot (which I think is what’s really behind the “because you’re worth it” concept).
Then again, as others have said, there are plenty of people I’ve seen charging so little their poor businesses can’t get off the ground… because they don’t think they’re worth it. So maybe this is another instance of humanity having trouble with moderation?
Agreed. I think there are price points for everyone. To me, pricing (for services, anyway) is a matter of what people will pay combined with what makes it worth YOUR while to do the work.
I happen to charge pretty high prices for my market, but that allows me the freedom to help people out here and there who I really like and can’t afford me. So it’s not a zero-sum thing.
Agree!!!
When businesses open and set prices they have to face the realities of the real, living customer base they want to sell to. The “old school way” (which I am labeled as negative for pointing out) of setting prices and location of business, is to determine how many of your ideal customers there actually are, what is their income and what is their disposable income budgets. You are right that your ideal may want to give you a million dollar tip or pay you $1,000 a hour for coaching… but the question people have to face is CAN THEY ACTUALLY DO IT if they are making $25 an hour at their job?? Everyone wants to be paid “what they are worth”… everyone wants to work 4 hours a week and make $100,000+ a year… but people cannot ignore that the base of people that can pay you that is VERY SMALL. If the objective is to help middle-class society elevate themselves… then you cannot ignore the average annual income of $60,000 and what their real disposable income actual is. So maybe your ideal client is the top 2% of income earners… or maybe those with great credit willing to go into debt… just be honest with yourself (and others) about what you are doing. As far as the “track record” (another negative topic that makes me a shit stirrer — LOL) let’s all admit the truth… that internet marketing allows for people to use a base of affiliates and “partners” to push out false social proof. Almost anyone can create the IMAGE that they have millions of happy customers, teach the best things, are super awesome, the guru of all guru’s… and it’s all just an image. It is not real. It was built to “trick” new customers into believing that something or someone UNPROVEN, has a track record earned by hard work… in reality it is all an illusion… dare I say fraud. 🙂
Great post!
The market tends to weed out those who are jacking it up to stroke their ego, but only if those with true talent, experience, performance and results make themselves known. Death to the fakers!
I have to say, honestly, that I did question my value in the beginning of my psychic business.
My prices were so affordable that I attracted the lower valued clients. Not that they didn’t mean any less.
Y know what I mean.
I had stalkers, men asking for a date, clients wanting me to stalk their exes with my gift, and there’s more but, I’m a classy lady….so I’m a keeping some things to myself.
As soon as I found my ICA and my value (err, pricing) for my psychic readings, I attracted the besties to my website.
I attracted interviews, tv shows, and higher end clientelle.
I’m glad that you, Laura, wrote my copy because I attracted those high end clients I’m speaking of.
So, thanks a million or two, Laura.
Talk to you soon,
Trisha
http://www.trishacondo.com
That’s absolutely true, Trisha! Lower prices create a perception of lower value, whether it’s true or not. Of course, along with raising your prices, you had better marketing to support them.
Not to get all religious on you, Laura… but—AMEN!
So what you’re saying is: Capitalism.
I think so. I think that’s what I’m saying.
You are so funny! Love reading your emails. I agree fully with your points and feel like doing some kind of expose on the whole trend of people who supposedly have 6 and 7 figure clients and charge godzillions of dollars for coaching packages and how to attract billion dollar clients. My intuition tells me a very small percentage of these people actually make large sums of money and they are just eating ice cream soup like the rest of us. Keep up the great commentary. Who knew a talking shrimp could be so profound? 😉
I think they NEED to eat some ice cream soup. They’d be more truthful, principled people.
How often do you see “Come to this free webinar and get this information that hundreds of my clients previously paid up to $27,000 to get at my exclusive training”, I always think, “shit, if I paid $27,000 for it and now you’re giving it away for free, I’d be pissed!”
LOL…Right!
I think about that all the time! I’d be SO pissed.
Hilare! Nailed it. You always seem to send me the right thing to read exactly when I need it…weird.
That’s because I’m in your head.
Why in the hell isn’t this said more? Thank you Laura! I’m going to share the shit out of this.
I think this every single time I see those discussions and my head feels like it is going to explode. So many times when I see people struggling it’s because they’ve bought into some BS pricing and they are WAY overcharging for their experience or quality. If the market isn’t buying that’s a big fat clue people.
Right. On the other hand, sometimes higher prices can make something more desirable! I read a story about skirts they were selling at Barneys that nobody wanted. Then, they jacked up the price by 200 bucks and everybody bought. But that’s not about “worth it.” That’s about perception, a whole other thing.
Yes. Si. Oui. Pricing essentially comes down to 3 things – how good your product is, how well you market yourself and what people are willing to pay. Great marketing can do a lot, but people aren’t stupid. Ok well people ARE stupid, sometimes, but they’re usually not stupid about parting with their cash. Basically, preach.
yes yes and yes!
I wish you e coli –I mean, love and light? Hysterical. You always make me laugh, Laura!
And having gone through a coach training school where they used a lot of that language–not your ideal client, you’re worth $X amount of dollars etc, I can totally relate. Something felt so cheesy about it when I would refer to those pep talks so I stopped listening to them and just did what felt good to me. Trusting my gut is the way for me!
I agree…there are some entitled people coming out of those coaching programs.
Love it. I’m a photographer and sell limited edition prints (not many) of my incredible (self described) images for a price that I would never personally pay for any photo. Fortunately, I am in a position that I can live comfortably without the extra income from these sales so I have the luxury of saying “It’s my way or the highway”. I’d think a lot differently if I needed the money so I guess that it’s just a big “need” equation – at what point does my need for money equal your need for art? “Deserve” just doesn’t seem to factor in.
That is so fortunate – such a great position to be in. Some people say hunger brings the success, but sometimes that cushion can do the same thing.
Thank you, Laura! Your blog came to me just as I was lamenting over the pricing for my products. I, too, have been listening over and over again about how I need to increase my prices and charge what I’m worth. My products help moms overcome the overwhelm in their lives so that they can live more healthy and fulfilled. I just feel that in order to really reach the client that needs my help the most, I need to keep my pricing low. The song that has been ringing in my head is “Those who really need and want your product will find the money to pay for it.” But my heart tells me that the moms who need it the most should not have to figure out how they are going to pay for it. So thank you, Laura, for reassuring me that, at least in this case, my head should follow my heart. The cosmos sent you to me today!!! PS: Your blog is entertaining and brightens my day.
Thanks, Tina! I think that if you’re really good and get people great results, word will spread and demand will build, and you’ll find those same clients, at the same income level, are willing to stake more money on your services.
OMG thank you for writing this!!
It’s so complicated because I know that by and large women tend to “undervalue” their skills, ask for less, etc. etc.
But as a business owner I also have an acute understanding of the cost of things.
Like in your $10 hamburger example, what would happen if your meat distributor was the one who decided that her hamburger patties were worth not $2 each but $200? What would that do to your $10 hamburger business? Ok so now you HAVE to charge $500 to make your margins, but…
Am I starting to sound like a Republican? Oh gawwwd.
But you take my point. Sometimes this advice feels like its given in a vacuum or a situation where there is an endless stream of “ideal clients” who each have an endless fountain of money to pull from.
Love the reality check.
There are actually plenty of ideal clients with money to pay for something they see as worth it. But it’s your job to make sure they feel that way.
If patties are $200, you switch meat distributors. Or, if the meat is that good, you have the most expensive hamburger in town and let people know it’ll blow their burger-loving minds. Of course, they’d better agree when they try it.
This is interesting! I’d like to know–how often do people charge too much vs. too little? How big of a problem is freelancers thinking they’re worth more than they are? I assumed that people say “you’re worth more!” so often because freelancers do often charge too little. At least that’s what I’ve seen on my Facebook wall. I see a lot of posts where the poster charged more after a lot of hemming and hawing… and her clients were happy to pay.
Also, I know it’s implied, but I’d like to see a more explicit discussion of what the drawback is of thinking you’re worth more than you are. Could you lose clients forever? (What if you just bring down your prices again?) Could your client stop referring you? What if sometimes you ask for more money and your client says no, but sometimes you ask and your client says yes? Does that mean you’re balancing your asks correctly? Or are you only doing a good job if you get “yeses” most of the time?
That’s been my experience too. Most freelancers…especially women…charge far too little.
Oh, for sure. People charge too little all the time.
Can you lose clients by charging more than they think you’re worth? Absolutely. I have, plenty of times. Some people get sticker shock and go away. But others come and make up for them.
I like to raise prices in accordance with demand. I know I can handle drop off if there are enough new people coming in the door.
AAAAYYYYY (yes, I am Mexican) you are so refreshing!!
Thank you so much for this. I am in the middle of changing my whole approach in my business, Website, create a blog etc.. Your emails are so perfect for me, such perfect timing to reinvent myself!! We need to talk!!!
Thanks, Monica! So OK, let’s talk. You know where to find me. 🙂
You are spot on once again. You’re my hero 🙂
I agree 100% Laura. I see WAY too many people charging high prices just because they can. You have to EARN the right to charge high prices in my opinion. You have to have a proven track record of success… you have to have a value equal to or above what you’re charging, more experience than just a couple months. Too many people give BAD advice, telling others to jack up their prices, when the quality of the service/product they provide is cheap and not worthy. Good for you for writing about this. I’m sure you’ll get some haters…
Agree, you have to earn it…or at least make it seem good enough. If you can make people want to pay a certain price, then by all means charge that price.
OOooh GURL! You’ve got your customer avatar DOWN!
hahahahahahahahaha ! loved it. But then again I’m on the other end of that spectrum. Years of experience lots of acquired knowledge and my head says “but do they really want it?” It’s all about finding the happy medium I guess!
I have, Heather. She’s YOU! If you wire me $1k, it’ll unlock a multi-million-dollar inheritance to which you’ll be entitled half.
laura …
you should charge what your pricing strategy dictates and i believe this is the catalyst influence of how the world and clients perceive your
value.
my first impression of was that of an accomplished sophisticated and urbane humorist, fresh unique talent
I’m not finished ..
is “price pincher client” a good marriage with your talent? are you eagerly anticipating ppc’s like minded referrals?
1% of Americans have 40% of all the nation’s wealth. (Matchers, Chris. Forbes.com, 10/31/2014 《I forgot apa
we live in a yes universe and if you are aligned citation, sorry》
I’m having trouble with my post … however; you should expect and receive everything you want, and I believe if you are accessible to a better client match to what you have to offer, the abundance will flow to you and we can celebrate with that icecream …
in monaco