The following situation happens to almost every service provider at one time or another — They show a proposal or contract to a potential client, only to hear, “That sounds great, but I can’t afford it.” And what does the service provider do? Most of the time, they will lower their rates. So we are here to put an end to this! That way, YOU never have to lower your rates again!
What Happens After Lowering Your Rates?
Often, after a service provider offers a lower rate, the client takes the offer… and then becomes the neediest, time-sucking client. This leaves the service provider resentful, and wondering why they never make enough money!
Does this sound familiar?
Right now, at this very moment, promise that you will never again lower your rates just to appeal to a client! The thing is, lowering your rates devalues your services, turns clients into monsters, and leaves you feeling resentful!
Now, I’m not saying you can never offer special deals! Just offer the deal in a different way!
How to Offer a Deal
To best describe this, let us provide an example.
A business coach offers a $1000/month package that includes:
- One 45-minute call per month
- An email per day
- One in-person meeting per quarter
- The ultimately mastermind retreat (one a year)
During a proposal presentation, a potential client claims that they cannot afford the monthly fee. Rather than reducing the price, the provider can remove line items from the package which, by default, will lower the price!
This allows you to offer a “deal” (which might actually turn into a larger client) and you never have to lower your rates!
Pro tip: The trick is to cut the appropriate dollar amount in relation to the workload. Otherwise… you can find yourself in the original conundrum.
Next time a potential client asks for a deal, remove a part of the package and by default, the price will decrease!
That way, you will never lower your rates and avoid feeling taken advantage of, while still providing a great service!