Last month I looked at how to find out what other people earn who do what you do. This “range” has nothing to do with you personally. By finding out the “fair market value” for your service or type of work, you will have a better sense of what you can charge. But how do you know if you can charge at the top of the range? Why should people pay top dollar to work with you? Why would an employer pay top dollar for your talent?
As you think about this, think about “perceived value.” What people perceive to be true can be more important than what is actually true. Perceptions are everything, whether we wish this to be the case or not. For example, if people perceive that you have a lot of experience because of the way you present yourself and your business, they are more likely to pay you more money than someone they perceive as new to the field. What perception do people have of you and your business?
Here are three reasons to charge at the top.
You Get Results
Even if you don’t have a lot of experience, if you get results, you can still charge near the top of the range. Remember that results are what people want, regardless of how long you’ve been in business—so you must publicize your results. How? Ask for testimonials from satisfied clients. Even if you are not using their names for confidentiality purposes, testimonials speak volumes. Always ask satisfied clients if they will write a supportive quote for you. The vast majority will be delighted to. Put these quotes on your Web site and in your brochures. For example, I just wrote a testimonial for my naturopathic physician. She is a younger doctor, but the results of our work had a profound impact on me. I want the whole world to know about her, and I think she is worth a lot of money. Results count!
You Provide a Specialized Service
The more niched you are—what you are doing is unique or your particular area of expertise if unique—the more money you can charge. It may feel like you have fewer potential clients, but the ones who seek you out will pay top dollar for your expertise. In fact, developing a specialty is one of the best ways for a service-based business to command more money. People will be drawn to you because of your specialty, will stay with you, and will end up using all your services. And having a specialty makes it more likely that people will talk about you! It is easy PR and creates natural opportunities for you to showcase your specialized knowledge. People like specialists and are willing to pay more for them.
You Have a Very Professional Image
This point may not sound fair, but again, perceptions count. I’ve seen brand-new service providers ask for and get top dollar from people who were impressed with what they saw. These professionals were “well branded”—they had a polished, coherent look to their web site and other literature. They dressed well and spoke with confidence, and this polish inspired confidence in potential clients. Make sure that you have professionally printed business cards (not printed on your home printer!) and if you have a web site, make sure that it looks professional.
Don’t despair if you don’t feel that these reasons apply to you. For many women, the first goal is simply to charge at the market rate. Charging at the top may come later. You don’t have to charge at the top of the range—but what would it be like? Women’s natural instinct is often times to undervalue what they do, so they inevitably look at the low end of the range. What would it feel like to charge at the top?
