For three and a half years I have pounded the virtual streets learning everything I can about running a successful online business, but it was only this year that I got one really important lesson drummed into this thick skull of mine.
People will pay you what you think you are worth. So if you ask $30 for a job that is actually worth more, they will happily pay it. If you quadruple that to $120 some people will gasp “You are so expensive” and choose not to use your services. Then you will get one client that says “Great” and sends you the money before you have even started.
Now you have 1 client who paid you the same as 4 clients, and you have time. Time to do a great job. So good a job that the client cannot stop raving about your service. And you still have time to spare. Time to market your business, strategise your long term goals, learn a new skill or just read a book.
Then you get another client who just sends you money via Paypal and says “XX recommended you. Please can you ….”.
I know from personal experience that when you are just starting out, you are so desperate to make money and a name for yourself that you will sell your services for $5.00.
Here is a better plan. Offer to do something for someone completely free of charge, and then wow them. Once you are done, ask them if you can use the work you did for them as a reference.
It took me a really long time to get this. What you know right now is worth money. There are people that do not have your particular skill set, and they need you to provide the service for them at rate that is worthy of YOU.
I saw a post earlier today where someone was only charging $25 for 5000 words for ghost writing. That’s half a cent per word. You may not be the best writer in the world but if you can string a coherent sentence together and have a reasonable grasp of grammar, you are already worth so much more than that.
So take a long hard look at what you are charging people. If you really don’t think people will pay you 4 times what you are charging right now, try doubling it and then see what happens in your business. You will lose a few customers, but the type of new customer you get is worth more to you in the long run. Later on, you can try doubling it again.
Please don’t take as long as I did to learn this lesson. You will save yourself years of stress and angst.
P.S. Have you seen “Want to Know How to Sell 100 Kindle Books Without Spending a Single Cent?“