My first ever "real" set-up fee! Explanation inside.

17 replies
I started this offline venture in the begging of November. In the end, I would hope this post motivates other people either thinking of getting into offline, or struggling having started in offline. Prior to November, I had a BASIC understanding of SEO, I was not an "expert". Now I sell the services as an "expert" in SEO.

In just under 60 days, I have 3 "clients" for SEO, today securing my 3rd. This is the first client that I actually had the confidence to ask for $797 set up fee, $500 monthly recurring, with a straight face, %100 absolute confidence in my prices, and not batting an eye. Let me explain.

With the previous two, at the first sign of "Well I am not sure.." sort of talk, I IMMEDIATELY dropped my set up fee from $697 (having no confidence in what I am asking for), and went straight for a "give me $100-$197 and let me show you what I can do". Now dropping the set-up fee and securing my first two clients was huge confidence booster, proving my worth has worked, But I cannot build a substantial business by offering this forever! Now, with the 2 lowered set up fees, I have "proved my worth" (I also have 2 references) and they are turning into bigger contracts come Jan 1 2012.

Yesterday I got a call back from a potential client (I direct mailed a letter), who was interested in my services. In having talked to other "potential clients" with stuttering and not much confidence, for some reason, for the first time, I took this call with %100 confidence, knowing what questions I was going to ask, and knew I was going to ask for at least $697 for a set up fee, and I was NOT going to drop the price for a "let me prove my self model". The conversation flowed smoothly, I didn't stutter or stammer. Then came the time where I usually flail and fail: "I like what I hear, what are your prices how do we get started", I simply replied "My set up fee is $797 (I just spontaneously tacked on another 100 in my mind), that includes all set up fee's, changing of your on-page SEO, and the initial back linking set up strategy and implementation, my recurring fee is for $500. This solitifies the rankings every month, and sort of retains me so I do not go work for your competitor. You'll get 5 local keywords, which I will research and tell you the highest traffic keywords, I will need access to your hosting , or to get in touch with your web guy in order to make the on-page changes, Do you want the invoice e-mailed to you right now? Or would you rather mail it to you via snail mail?", he didn't flinch, gave me his e-mail. This morning he made the payment (see screen shot below):



http://imageshack.us/photo/my-images/267/797.png/

To wake up and finally see a 797 set up fee in my account is huge, motivating, and makes me go "Gee Ryan, that wasn't so hard was it".

Within 60 days, and numerous call backs, I am finally completely confident on the phone, I have learned from the previous calls, and can't wait to kick start 2012 and expand the SEO portion of my business.

I would say to anyone who is thinking about starting an offline consulting business, these are the things that have helped myself, dramatically:

A. You need a motivating factor, something that drives you, a reason you want to do this. Is it to quit your job? Is it for your kids? Is it $$? Put a picture of that motivating thing somewhere you see every day.
B.Taking action, just do it. You are going to flop and mess up along the way, but it get's easier very fast. Stop making up excuses why you can't start today.
C. Having someone who is doing what you want to do and successful at it helping you (mentor type)
D. Being apart of the WF - I have got plenty of feedback, and help when needed just from fellow Warriors.

Ryan

P.S. If having a 9-5 is one of your excuses, I have done this in 60 days, and I have a 9-5, but not for much longer
#explanation #fee #inside #real #setup
  • Profile picture of the author DNChamp
    Man that is GREAT!! That is really good man...Go forward and do that weekly!!! Man you made my day reading that as soon I want to be in that position!
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  • Profile picture of the author tobyddd
    Nice going Ryan - keep up the good work and keep aiming at packing in the 9-5 job - I've just done that and the feeling is great
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    • Profile picture of the author ryanmckinney
      Originally Posted by tobyddd View Post

      Nice going Ryan - keep up the good work and keep aiming at packing in the 9-5 job - I've just done that and the feeling is great

      Toby I can taste it! In November I set a personal goal to pack it by the end of November!

      By the way, that is my motivational picture, right above my monitor, I see every day.

      Ryan
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      • Profile picture of the author jhuman
        Awesome Ryan!

        I think the biggest challenge for me was trying to prove my services was worth it since it was an expensive investment, relatively speaking, but if you entertain the client with full knowledge and confidence about your abilities, contracts are easier to secure.
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        • Profile picture of the author ryanmckinney
          Originally Posted by jhuman View Post

          Awesome Ryan!

          I think the biggest challenge for me was trying to prove my services was worth it since it was an expensive investment, relatively speaking, but if you entertain the client with full knowledge and confidence about your abilities, contracts are easier to secure.

          Exactly! That was was I failed was getting the "value" across. So I always ask in some way shape or form: Well, what is 1 new client worth to you? 5 ?And start talking numbers, when they see that this can drive X amount of leads per month, and turn into X amount of customers, what they are to pay us consultants is much cheaper looking. If they are paying me 6K for the year.. but 1 client is worth 10K for the year, and I am driving many new clients.. the math speaks for it's self.

          When someone wants a "reference" - I tell them to google this keyword, and call this website that will be on the first page, talk to this person.


          Ryan
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          • Profile picture of the author George Pitts
            Awesome post Ryan!!!! This was definitely helpful and a good read. Keep up the good work my fellow warrior friend. This is the year for us all I can just feel it."]
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            • Profile picture of the author ryanmckinney
              Originally Posted by George Pitts View Post

              Awesome post Ryan!!!! This was definitely helpful and a good read. Keep up the good work my fellow warrior friend. This is the year for us all I can just feel it."]

              Yes it is George! I can taste it-
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  • Profile picture of the author ryanmckinney
    Originally Posted by Terry Gorry View Post

    Good encouraging post Ryan.

    How have you obtained clients?

    What worked best for you?

    Have you used direct mail much?

    Terry

    Hey Terry!

    The most call backs are from direct mail, using fedex, it get's opened %100 of the time. I spend some time qualifying the clients by finding that they are spending money on yp, print ads, etc, then I send a letter, showing they are not on google, and just let them know a competitor has the same letter (bascially). It has produced a call back everytime.

    I also joined linked, and on my site I give a away a free report, and when they opt-in, I follow up.

    I have a fan page that I have just started promoting.

    I have also just had random encounters with people that owns businesses or manage them, and that has lead to leads, just talking about marketing, etc, and what I do, who I do it for.

    So it really is just a multi-pronged attack, and I am filling my lead pipeline the fastest way I know how.

    I also have an SMS business, with a partner, and some of those leads have led to other talks.

    So in 60 days, I have a lot going on, all done outside of my 9-5.

    Since I have a 9-5, I do not cold call, but I was thinking of taking a week off, and just seeing what cold calling gets me :-) , after all I am way more comfortable on the phone, plus there are plenty of threads on here with good scripts!

    Ryan
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    • Profile picture of the author link82
      Originally Posted by ryanmckinney View Post

      Hey Terry!

      The most call backs are from direct mail, using fedex, it get's opened %100 of the time. I spend some time qualifying the clients by finding that they are spending money on yp, print ads, etc, then I send a letter, showing they are not on google, and just let them know a competitor has the same letter (bascially). It has produced a call back everytime.


      Ryan
      Hi Ryan, inspiring post! I have PMed you with ?s regarding your FedEx method. Hope to speak to you soon!
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      Quietly Selling Powerful Links. Just a handful on clean domains, PM me for inquiry :D
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      • Profile picture of the author ryanmckinney
        Originally Posted by link82 View Post

        Hi Ryan, inspiring post! I have PMed you with ?s regarding your FedEx method. Hope to speak to you soon!

        Sure thing, you or anyone, just skype me I am on there or around most of the time.

        Ryan
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        • Profile picture of the author link82
          Originally Posted by ryanmckinney View Post

          Sure thing, you or anyone, just skype me I am on there or around most of the time.

          Ryan
          This guy means it! He has been helping me throughout the day through email. I know someone who is so keen on helping others will find great success. Thanks Ryan.
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          Quietly Selling Powerful Links. Just a handful on clean domains, PM me for inquiry :D
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          • Profile picture of the author MaxwellB
            That's really awesome Ryan. Practice is honestly the only way to get good selling anything.

            Also what I do and It may seem strange but I talk out loud (when I'm alone of course) and go through a pitch/presentation/talk with a made up prospect.

            In your instance pretend they say "I'm not sure, set up fee seems high when I don't know it will work out"

            Think of some rebuttals. For you I like "Look, SEO isn't like turning on a piece of software, it requires sitting down at a computer and working, actual man hours...most of which is done at the start of the campaign. So the set up fee covers those initial man hours"

            Something like that. People mostly don't understand SEO, but they do understand work, man hours, labor, taking your time on something. They know time is valuable and if you level with them and steer the conversation toward that they will get over it.
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            • Profile picture of the author ryanmckinney
              Originally Posted by MaxwellB View Post

              That's really awesome Ryan. Practice is honestly the only way to get good selling anything.

              Also what I do and It may seem strange but I talk out loud (when I'm alone of course) and go through a pitch/presentation/talk with a made up prospect.

              In your instance pretend they say "I'm not sure, set up fee seems high when I don't know it will work out"

              Think of some rebuttals. For you I like "Look, SEO isn't like turning on a piece of software, it requires sitting down at a computer and working, actual man hours...most of which is done at the start of the campaign. So the set up fee covers those initial man hours"

              Something like that. People mostly don't understand SEO, but they do understand work, man hours, labor, taking your time on something. They know time is valuable and if you level with them and steer the conversation toward that they will get over it.

              Yeah Maxwell, At first I was so nervous/scared. I did practice pitch, practice this or that. I had it planned in my head, never worked out that way.

              Since this post I have closed multiple clients, and those clients have referred me to clients, it is insane. It feels now as if I can close anyone! Of course, closing a referral is EASY.

              It is always easy when the people are calling you already interested. I have mad respect for my cold callers out there! Since I target and have people call me back, I couldn't imagine cold calling lol.

              Ryan
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  • Profile picture of the author RavishingRajni
    wow -
    what interesting info
    thnx, will note this down
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  • Profile picture of the author lordcenon
    This is awesome and very inspiring. Any FREE SEO DIY file I can read as less than an amateur, like starting from scratch.
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