OMG…STOP THE MADNESS!
Just saw a post in a Facebook group where one person says that they just finished writing a book and they need an editor.
And, I was about to respond when I saw the prices that others were quoting and I thought “have these people lost their freakin’ minds”.
- One person quoted $75.
- Another said a case of beer plus $50.
- One said $100.
- Another $150.
Nope, nope, nope, nope!
I believe the highest quote was $300 and even that was too low…by a long shot.
What are these people thinking?
Do they not see the problem charging low prices is having on their business?
Well to answer those questions…
(1) they aren’t thinking about the consequences of their low price offers
(2) and charging low prices is all they know how to do.
In fact, their mentality is “the lower the price…the better”.
Ironically, those same people price themselves out of business really quickly. They just don’t make enough money to cover their true cost of doing business.
It’s a vicious cycle.
These low balling price quoters keep chasing after the nickels and dimes so they can some how scrounge enough money to pay rent, food or whatever.
They are earning enough to barely stay alive.
But not enough to enjoy life.
Sadly, a minimum wage position at any burger flipping joint pays more than what these low ballers make in a week.
So how do they break the cycle of cheapness?
First…raise those rates.
Second…sell the benefit (value), not the price
Third…go after better clients.
Now instead of charging $75, you’re charging $750.
Instead of charging $300, you’re charging $3,000.
Instead of being looked down as a cheap resource, clients are looking up to you for your expertise and are paying whatever your rates are without question.