I’ve been a coach since 2010: I started w/ an MLM company coaching on health/fitness while helping them start their own coaching businesses. I’ve since narrowed my focus considerably – I strictly help women launch and scale their online coaching businesses.
One of the most common questions I receive from new and seasoned coaches is, “How should I price my coaching services?”
Easy Pricing Strategies to Determine Your Rates
It might just be the most stressful decision you ever have to make: what to charge?
You certainly don’t want to undercharge, but you also don’t want to charge outside of your frequency.
You’ve got the competition to consider, your own skill set, what you perceive to be your skills (yes, this is different from the former for most of us), what your market will pay, your location, and a host of other variables. Working it out can feel like running a Tough Mudder!
Of course, there are some strategies you can try out.
But what about all those other questions? Creating a solid pricing structure requires you to do a little more digging. So with your starting number in line, take a look at:
This might take a little detective work, since a lot of coaches and service providers don’t publish rates. But if you pay attention to their websites and social media, ask a few discreet questions, and get on their mailing list, you can figure it out.
Be realistic about who, exactly, your competition is, though. Don’t undervalue or over-sell yourself. In other words, make sure you’re comparing yourself to another provider who shares the same skills, market, and track record, rather than simply looking at who you strive to become.
For example, there are a lot of business coaches who haven’t been coaching near as long as me with no degree. If they’re trying to price like I do, they’re bound to have a hard time finding clients. After all, I’ve been coaching since 2010 and have an MBA. My work has been featured in places like Cosmopolitan, Forbes, USA Today, and more!
In some fields, this is easy. There are certifications and educational programs that allow you—by virtue of having achieved them—to charge a certain rate. If you’ve followed this path, then pricing will be easy for you. If not, take a solid look at what you can legitimately claim as a skill.
Look, too, at your track record. Have you proven yourself by helping former clients (and do you have the testimonials and case studies to show for it)? Have your former clients moved on to bigger and better coaches after working with you? (That’s a good thing!) These are all reasons to maybe consider a higher price range than you might have first thought.
In the game of setting rates, it’s your market that has the final say. As any first year MBA student can tell you, the price of anything lies where what the buyer is willing to pay meets what the seller is willing to accept.
If your goal is to give newbies a helping hand and lead them down the path to success, that unfortunately means you can look forward to low paying gigs. That’s not a bad thing—everyone has to begin somewhere—but it does need to be acknowledged. If, on the other hand, you’re target market is more established and economically stable, then a higher fee isn’t just warranted—it’s a must. They will expect a higher price, and will not find value in the lowest-cost provider of anything, whether it’s a cashmere sweater or business coaching.
Finally, don’t forget that pricing is never set in stone. It’s flexible. If you find you’re attracting the wrong market (or no market at all) you can always change your rates. Working too hard for not enough return? Raise your rates.
It’s your business. You get to call the shots.
For launching and scaling your coaching business, hire me!