Do you offer a great service, but attract too few clients? If so, here’s one way to turn things around… fast!
I was prompted to write about this, after speaking with a client earlier. We talked about what’s happened since she tripled her fees last year. Yes, it took a lot of courage, however, not only is every client now massively more profitable to her, she has never been busier with new clients.
So, why did a 300% increase in her fees result in more clients, rather than fewer clients?
My client is highly experienced and provides an excellent service. However, her fees used to be around the average for her industry.
In other words, she was claiming to offer a top quality service for what sounded like a bargain basement fee. She was giving people a mixed message and creating doubts in their mind.
The kind of people who seek out excellent service and are willing to pay for it, would have ignored my clients former marketing. They would see the service being offered, compare it to the cheapo fee and get suspicious. They’d assume she was another bargain basement provider making claims she couldn’t back up.
Of course, those looking for a cheap provider were not attracted to her either, as they shop around for the lowest fee and hers were close to average.
So, my client had previously failed to attract the best clients and the worst clients. She was left with the overcrowded middle of the market, where it’s exceptionally competitive, low profit, and very hard to stand out.
The lesson here is simple: If you genuinely provide an excellent service and want to attract lots of great clients, you need to make sure that your prices match your promises.