Pricing is one of the biggest challenges for freelancers and entrepreneurs. This happens for many reasons. But one of the main reasons we get stuck in this rut is because we doubt ourselves and allow other people to think for us.
I’ve done it many times before. In fact, I sometimes still listen to other people before I turn to my affirmation that I’m good at what I do and I deserve to get paid for the value I offer.
To ensure you get paid what you’re worth, here are six pricing mistakes you should avoid.
Pricing Mistakes to Avoid
1. Doubting Self
How you feel about yourself has a big impact on how you price your products and services. When you lack confidence; question your skills and abilities; and doubt yourself on any level, you tend to charge less.
2. Thinking Small
Just because you’re classified as a small business owner doesn’t mean you have to think small. The size of your enterprise or the number of employees you have should not impact your rates.
3. Choosing the Wrong Target Market
Pick your target market based on your ability to solve their problems and their willingness and ability to pay. If your service doesn’t fit the needs of a group, don’t try to force it. And they don’t want to pay, keep it moving.
4. Charging by the Hour
Instead of charging by the hour, price by project. You will lose time and money with this pricing strategy because you’re trading your time for dollars.
5. Listening to Other People
Here are a few people I’ve had to stop listening to:
- Successful business owners that are not familiar with my industry
- People who said my prices were too high but could not tell me why
- People who gave me “advice” and would never invest in my books or services or tell other people about me
6. Doing everything yourself
As a small business owner, you are a team of one. You may be good at many things but cannot do everything. Working in your business and not on your business will interfere with your ability to make money. Also, you want to work your strengths and hire your weaknesses.
What About You?
What are some pricing mistakes you’ve made? How did you correct them? Tell us in the comment box below.
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