You might think I’m crazy, but I believe without a shadow of a doubt that you need to charge more for your services next year. Why? Because I bet you, you are NOT charging enough for your talents now.
I get it–you want the business. A well-known marketer in my area who owns a car repair enterprise once told me that if he’s slow, it’s better to get the business and keep his techs employed. While I do agree with this statement, because laying off employees is the LAST thing an entrepreneur wants to do, it has one major flaw. There’s no profit.
As a solo-preneur, your overhead might be limited to just you and what parts of your home you allocate for business (remember to factor part of your rent/mortgage, insurance, electric, gas, water, etc). So to you, anything that is not spent on materials goes in your pocket. You think you are making money.
You are wrong.
This makes it tempting to charge lesser prices because, hey, it’s just you! But the reality is harsh–you are not making any money, really.
If you have an employee or two, this strikes a little bit harder. You don’t want them to loose them and they have to find another job, so my marketer-friend’s statement above has more meaning to you. But if all you are doing is paying your employees and the materials…you still loose.
So what am I getting at, you ask?
August 2016 is the PERFECT time to review your prices for 2017. You should be starting to see some 2017 leads roll in now, so before you book them, let’s review your numbers and goals.
QUESTION: HOW MUCH DID YOU WANT TO EARN IN 2016? ARE YOU ARE TRACK??? (If not, don’t feel bad. I’ve heard from pros across this country that wedding bookings are down. That’s another post topic, but I just don’t want you to feel bad if you are not hitting your goal)
Take this info and reevaluate for 2017. How much do you want to earn next year?
Do you know how much you need to charge to get there? CLICK HERE TO READ MY ARTICLE ON HOW TO CHARGE WHAT YOU ARE WORTH It’s a short article with the exact formula of how to come up with how much you should be charging. There’s also a WORKSHEET that goes along with the article you can print and fill out!!
Lastly, revise your marketing materials to reflect your new fees. Don’t apologize for them. Own them. Charging more for your work attracts better clients who are willing to pay for your talents and not give you a bunch of crap. Just saying. 🙂
What about discounting, you ask? I’m generally not a fan, but what I do if I really like a bride and want her to hire me is I give a discount on her Service Charge (this is what I charge as a florist for delivery and setup; maybe yours is a travel fee or shipping and handling). Or, give her a freebie that’s of REAL VALUE, like a mini photo album you can create inexpensively or an accessory, such as a flower girl basket and ring bearer pillow set. As a consumer I get it, freebies attract people. Just make sure they are not attracting the wrong clients who are just out for something for free.
Want to share with me and the world what you are charging? Have questions about charging for your talent? Drop them in the comments below!!