[Implementation Guide] The Secret For How To Charge Value-Based Fees

I'm yet to come across an offline consultant that doesn't desire to be paid more for what they can do or currently do. I'm also in that group because I believe that no matter how much I charge, the business owner is still making a good amount of profit from using my input...but that's business.

The key is to understand how you can increase your fees periodically for doing the same or indeed, even less (without become dishonest of course).

What I want to share with you here are the critical do's and don't when setting what I refer to as 'value-based-fees.' My golden rule is that you should always determine value before you talk about price.

"But I sell websites!" - No you don't. You do more than just 'sell websites' or 'mobile marketing,' or 'SEO' or...whatever. You just aren't looking at it that way right now.

Looking at what you do and how you do it differently may be a little difficult to do, but I assure you that it will revolutionize how much you're able to ask for and how much you get paid.

Before you can accurately set a value-based fee for what you're going to do for a business owner, you must know these 4 things:

1. What's the business owner's ultimate objective?

Do they want to increase their sales, cut costs or raise client satisfaction?

2. How will the client measure progress or success?

You have to know what success criteria the client is going to use to judge 'completion.' Is it your delivery of their Facebook page? Is it the number of sales that originated via their mobile enabled website? These are just random examples by the way.

3. What's a successful result worth to the business?

This is in terms of growth and profitability of the business?

4. What's a successful result worth to the business owner personally?

Prestige? Authority status in their industry? More time away from the business to do other things they'd really like to do if they had the money and time freedom to do it?

If you succeed, what quantifiable value will you actually deliver?

You can't charge $10,000 for one of your offline marketing solutions that's only worth $5,000 to a business. On the other hand, you can easily charge $10,000 if you know what you'll do is worth $50,000.

If charging $10,000 seems like something you can't wrap your head around at this time for any reason just imagine trying to charge $1,000 for something worth $500 to a business...won't happen, but charging $1,000 for something that adds or delivers $5,000 worth of business is reasonable and practical and you don't need advanced skills to make this happen. You need to understand value.

The takeaway from this is that you should do everything you possibly can to avoid premature discussion on fees.

You need to be able to answer these questions before you jump in with any fee or you'll most likely sell yourself short without knowing it. Most people who can't answer these questions will automatically do so and then wonder why they're not making good money even though businesses are buying their services.

Now you know what to do go out and make it happen.

BAYO