Five ways to show you’re worth every pretty penny
When you’re running a service-based business it’s easy to fall into the trap of competing on price. It's much better for profits, however, if you go the other way and realise you are worth every penny!
Given a race to the bottom is not a sustainable way to run any business, I’ve always found a better strategy is to go in the other direction – charge for a top-notch service.
But how do you get there?
Well, when a potential customer asks about your services, it’s not enough to simply give them your price list and send them on their way. You need to take the information the customer gives you about their business needs, combine it with your industry experience, skills, and know-how, and solve their problem the best way possible.
You have to impart your knowledge – add value – right from that first point of contact, and carry that throughout your relationship.
Another way to say it is that you need to ‘wow’ your customers by helping to guide and educate them through their purchasing journey and beyond.
"When a potential customer asks about your services, it’s not enough to simply give them your price list "
Here are five simple ways to wow new and existing customers every time and show them that you are worth every penny and represent far greater value for money than your cut-price competitors:
1. Ask lots of questions
Understanding the customer’s needs is your number one priority. You can’t possibly provide the best solution if you don’t even know what problem you’re trying to solve.
2. Go the extra mile
Doing just a little bit extra rarely goes unnoticed. This could be spending slightly longer than quoted for a project, throwing in some freebies or discounts, or simply providing a better quality end product.
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3. Under-promise, over-deliver
Make sure you always hit your deadlines and budgets. Give yourself some slack in your time estimates and when you finish the job early, your customers will be rapt!
4. Solve more problems
This isn’t about up-selling or cross-selling. If you identify other ways to help your customer, tell them about it. Explain how you can help, and the benefits to them.
5. Follow up
When the transaction or project is done and dusted, reach out to your client to make sure they’re 100% happy, and request their feedback. Do this again down the track, to help demonstrate that you’re looking out for their long-term needs.
At the end of the day, your customers will appreciate that you’re providing expert solutions to their problems. It’s this extra value that earns trust and instils in the customer a belief that you are a master of your craft. If you put in minimum effort, you’ll get minimum appreciation as well.
What steps can you take to demonstrate your value and increase your prices accordingly?