When you set prices for your products and services, what do you think about as you select the price? You probably consider things like the cost of labor, parts, skill, and so on. Naturally you want to earn back that which you put into it.
But there’s more to it than that. We all know that the product is not always the real selling point. For example, when you hire an accountant, it’s often not related to the specifics of keeping track of numbers. Technically speaking, you could figure out how to keep your books, pay your taxes, and so on. There are materials available to read and study, you could take courses, and go to conferences. Eventually, most of us could get to the point that we could manage our own accounting just fine.
But in most cases, the issue isn’t whether you are capable of managing your accounting, it’s all the other attached emotions and additional issues. You may be afraid (rightfully so) of making a mistake and having to pay the government fines or face criminal charges, or at the very least, lose your business. You already have your hands full with enough work to do, just managing the day-to-day of your business. You are overworked, overstressed, and don’t have the time or the brain space to take those classes and go to those conferences. You may even find that you are actually not wired to understand numbers the way accountants are.
When you combine these legitimate concerns with a massive lack of time and energy, the result is that you probably aren’t going to do your own accounting. So an accountant swoops in and offers to not only take care of the nuts and bolts of the accounting, but also to alleviate your fears of doing something wrong, remove the burden of additional work, and eliminate the need to attend conferences, take courses, and read loads of materials. So an accountant isn’t just selling the process of accounting, he’s also selling peace of mind, less work, and checking a big thing off the list.
Depending on what business you’re in, you’ll have to translate those things a bit to fit your world. Here are a few samples to get you started:
You’re not selling interior design, you’re selling comfort in the home.
You’re not selling a website, you’re selling the ability to get more business.
You’re not selling wedding photography, you’re enabling people to hold on to their memories for a lifetime.
You’re not selling a car, you’re selling independence.
And on it goes.
Think hard about what you are actually selling. Ask yourself – and your customers:
- What do they feel when they buy from you?
- What problems do they get solved?
- What stresses are relieved?
- What frustrations are done away with?
- What dreams are fulfilled?
Consider your pricing based on those questions, and you’ll realize there is a greater value than you had ever considered before.
Watch our free training video now to learn more about this common pricing mistake.