I've been consulting local businesses

11 years ago

Justin,

I am not sure what you are doing for them but $50 to $75/hr seems to low. Most professional services including web design are billing at $100+/hr.

Maybe you don't feel you can get that and only you can know for sure but the price seems to low to me. Or maybe you are including all hours of work including non-billable in which case you are better. Just wanted to reply and suggest you raise your prices.

Thanks
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Aaron Doud - Sales & Success

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Justin Says

11 years ago

Originally Posted by Aaron Doud

Justin,

I am not sure what you are doing for them but $50 to $75/hr seems to low. Most professional services including web design are billing at $100+/hr.

Maybe you don't feel you can get that and only you can know for sure but the price seems to low to me. Or maybe you are including all hours of work including non-billable in which case you are better. Just wanted to reply and suggest you raise your prices.

You know what.

I agree.

But at the same time I'm completely okay with what I'm doing right now and it's in the early stages of me testing out how consulting and coaching works with local businesses

Almost every single company I have helped have included some big bonuses.

For example I have restaurants I can go to and get 100% free dinners for my girlfriend and I.

I get 100% free motorcycle maintenance and huge discounts on parts.

This weekend I was taken to a NASCAR race, all expenses paid for Jocelyn and I.

And most businesses also take me out to nice dinners or if anything, add on a tip afterwards.

It's all about doing what makes you happy bro, not how much you charge and I'm happy.

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My name is Justin Lewis. My digital marketing company has been in business for over 10 years with multiple six-figure years. We do provide a premium web design service.

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AndrewCavanagh 11 years ago

Originally Posted by Justin Lewis

It's all about doing what makes you happy bro, not how much you charge and I'm happy.

There's some real wisdom there.

Yes you can charge more.

And yes if you're happy keep doing what you're doing.

It really is about building the life and the lifestyle you want.

Kindest regards,
Andrew Cavanagh
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Aaron Doud

11 years ago

Well perks and bonuses help make that number a lot higher. But it is always hard to quantify them and put them into the hourly rate. There is a lot to be said for bartering and such. Just be careful in these situations that you get tax advice. You don't want to be audited and owe money for the retail value of these perks.

Also you are 100% correct it is about being happy. I think the biggest thing should be the focus on being happy. I know I make far less than I could and I actively choose to for the security of a job vs. my own business.

I just don't want anyone to undercut themselves which is why I mentioned the industry standards.

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Justin Says

11 years ago

Yea, I don't focus too much on what competitors charge or anything really. I just do what makes me feel comfortable and helps the business. The companies I've done business with have been screwed over and over by "industry standards" and I'm not going to be apart of it

Their is also security in it, because by charging lower, so long as I can continue to offer value they are happy and continue to do business with me. Versus a one day dealio.

Thanks

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My name is Justin Lewis. My digital marketing company has been in business for over 10 years with multiple six-figure years. We do provide a premium web design service.

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Aaron Doud

11 years ago

Long term clients are always the key. Volume vs. Gross basically. An argument won years ago by volume when the Walmart model proved to be so great.

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Greg guitar

11 years ago

Originally Posted by Aaron Doud

Long term clients are always the key. Volume vs. Gross basically. An argument won years ago by volume when the Walmart model proved to be so great.

Yes but you might say Walmart won the argument by cheating. Their low price high volume strategy depends on importing most of their products from a country where there are virtually no protections for workers or the environment, so slave and child labor might well be part of the equation that allows them to profit with low prices. Another part of that equation is using workers in their stores whose wages are subsidized by taxpayers in the form of government assistance to the poor.

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Eddie Spangler

11 years ago

Originally Posted by Greg guitar

Another argument you could say that Walmart won is that you can increase profits dramatically by sourcing most of your products from a country that uses slave and child labor, has almost zero costs related to worker safety and environmental concerns, which allows you to keep wholesale costs far lower than were you to buy from factories where workers have some chance of a decent life.

They could further argue that one should sell in a rich country, but employ workers at the bottom rung of the workforce, and hold trainings for them on how to get government benefits that allow them to supplement their wages enough to pay the bills and continue working. Thus, you get the taxpayers to help you pay your workforce without having to pay them a living wage out of your massive profits.

How long have you been waiting for someone to mention Walmart so you could get on your soapbox?

I like this summary and will use it as a framework when arguing the cons of walmart.

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Greg guitar

11 years ago

Originally Posted by Eddie Spangler

How long have you been waiting for someone to mention Walmart so you could get on your soapbox?

I like this summary and will use it as a framework when arguing the cons of walmart.

Thanks I think.

It isn't like I was just waiting for the opportunity, but as big as they are, they get mentioned now and then, and I'm usually not too shy to chime in. I think it is important to call out grave injustices when it seems appropriate.

Any time the corporation is mentioned as a success story it usually seems appropriate to me to mention the dark side of how they achieved it, since some people might still be unaware of it, as discouraging as it is to contemplate how that can be.

I guess we can chalk that up to the fact that Walmart has a bigger PR budget than their detractors. (Which is a bit like saying the ocean is bigger than a mouthful of water).

Thanks

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tagr79

11 years ago

Originally Posted by Justin Lewis

And I'll tell you right now, there is some big money in this industry.

I don't have a set price on what I charge clients, nor do I go door to door, every client has come to me directly and asked if I would help them.

The best part is, I let them choose how much they want to pay me, and it averages around $50 - $75 per hour.

Of course this is going to depend on your knowledge and what you offer them, but really I give them whatever I want since I've been doing this for the past few years and have a good array of skills and talents that I can put to use in the time given.

I will say this though, I know of someone else who does phone calls with clients 4 times a month for 1 hour each and makes $500/month per client, so you could of course try other techniques but this is just the one I'm using now and I love it, plus the companies I've helped have been satisfied.

If you have the right mindset, get into local marketing/consulting/coaching/seo, etc.

How do you get your leads? You mentioned, your clients come to you; are they online leads?

Thanks
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Justin Says

11 years ago

Originally Posted by tagr79

How do you get your leads? You mentioned, your clients come to you; are they online leads?

I originally hosted a small event in my area where I just gave away some marketing tips and after just a few people attended, suddenly local businesses were interested in my strategies and have been talking to one another.

Thanks
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My name is Justin Lewis. My digital marketing company has been in business for over 10 years with multiple six-figure years. We do provide a premium web design service.

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Aaron Doud

11 years ago

Originally Posted by Justin Lewis

I originally hosted a small event in my area where I just gave away some marketing tips and after just a few people attended, suddenly local businesses were interested in my strategies and have been talking to one another.

I've never done this personally but have heard about the power of this method from others. Sets you up as a true expert. Great tip.

Thanks

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Bennette

11 years ago

Originally Posted by Justin Lewis

I originally hosted a small event in my area where I just gave away some marketing tips and after just a few people attended, suddenly local businesses were interested in my strategies and have been talking to one another.

Congratulations on your success Justin. I have a few questions.

Was the event free for businesses or did you charge?
How long was the event, ie. 1 hour, 2 hours, etc?
How did you market your event to get people to attend?

Thanks

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kevin Hislop

11 years ago

Justin, sounds like you have the correct mindset... you must enjoy it and getting paid a reasonable price (whats comfortable for you) is half the battle to taking action.

When closing clients, you have to feel that you are worth the price you are charging... if not they will sense something is off and you will probably lose the deal.

I like your style man,, keep doing what your doing... and enjoy those freebies

Cheers
Kev

Thanks

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jbenson00

11 years ago

I did a similar thing with small businesses. I have a free ebook(Ignore whats on the page, just click the download link) about what I did. I now focus more on the online business to expand from the town where I started. I like consulting the way I do it now(online) rather than offline(I just have bigger reach). The first month I only made around 2300.00. The last month before I turned that side of the business over to a friend was around 7500.00.
BTW That ebook I have sold for 37.00 a pop for a good while now. Its nothing special though.

Thanks

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bawls

11 years ago

I think $75/hr in the hand is better than $150/hr in the bush, people think $75 is too low but they probably also are not making 3k a week if you worked 40hrs @ $75/hr.

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kevin Hislop

11 years ago

Originally Posted by bawls

I think $75/hr in the hand is better than $150/hr in the bush, people think $75 is too low but they probably also are not making 3k a week if you worked 40hrs @ $75/hr.

Totally agree with you...

Lets not forget, the goal here is to make money and have the life you want.... if your charging more than your competitors, and you dont have any the social proof to back it up... why would someone buy from you?

I think the first goal for anyone is to get a few clients, some results then you can think about your pricing...

Thanks

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Aaron Doud

11 years ago

Originally Posted by bawls

I think $75/hr in the hand is better than $150/hr in the bush, people think $75 is too low but they probably also are not making 3k a week if you worked 40hrs @ $75/hr.

Most people will not have billable hours of 40 per week. You figure that 1/3rd if your hours will be billable. So that is why you charge more since you will be working less and have more prospecting or down time.

Also you need to figure in your costs and the extra taxes and benefits you now have to pay for yourself vs. being paid by your employer.

$75/hr sounds amazing if you have only worked hourly jobs. But most people don't do the math of what the benefits are worth plus the employer half of the payroll tax.

When that is figured $75/hr is still good pay but depending on the hours worked is likely a below average income in the US. That isn't bad by any means and anyone who is happy and living the life they want should be respected and envied no matter how much they make.

But often times we have people who have never been self employed before who don't know what to charge.

Is $50 to $75 an hour bad? No it is fine. Is the industry average higher? Yes it is. Could some people charging $75/hr be charging $200/hr? Yes they are providing amazing value. Are there people charging $100/hr which shouldn't be? That is true as well.

It isn't good to over or under value yourself. When you over value you will not get repeat business and have many unsatisfied customers. When you under value you provide great value but you are not earning your full potential. This will be made up by having many happy customers who give you repeat and referral business.

In the end pricing is a very personal thing. But if I believe someone is under or over charging I will say so. It doesn't mean I am right as it is merely my opinion based on industry averages and perceived skill levels. For some it may be an eye openers. For others like Justin here they are aware of it and have chosen to do so for personal and business reasons. As long as the person is choosing to do so with 100% awareness I respect that.

Of course in Justin's case I suspect he has as many of his hours filled as he wants to. And if he isn't working 40 hours a week that is by choice not by lack of clients. I've spoken with him a bit directly and he has earned my utmost respect. I believe that talking to him and reading his posts will provide me with great value. Something I would be willing to say about very few people and the others I believe are aware they are on that list.

Justin is providing amazing value to his clients and has a multitude of satisfied customers. Justin is doing what a lot of people on here would love to be doing. And that means all of us can learn something from him.

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bawls

11 years ago

Originally Posted by Aaron Doud

Most people will not have billable hours of 40 per week. You figure that 1/3rd if your hours will be billable. So that is why you charge more since you will be working less and have more prospecting or down time.

Also you need to figure in your costs and the extra taxes and benefits you now have to pay for yourself vs. being paid by your employer.

$75/hr sounds amazing if you have only worked hourly jobs. But most people don't do the math of what the benefits are worth plus the employer half of the payroll tax.

When that is figured $75/hr is still good pay but depending on the hours worked is likely a below average income in the US. That isn't bad by any means and anyone who is happy and living the life they want should be respected and envied no matter how much they make.

But often times we have people who have never been self employed before who don't know what to charge.

Is $50 to $75 an hour bad? No it is fine. Is the industry average higher? Yes it is. Could some people charging $75/hr be charging $200/hr? Yes they are providing amazing value. Are there people charging $100/hr which shouldn't be? That is true as well.

It isn't good to over or under value yourself. When you over value you will not get repeat business and have many unsatisfied customers. When you under value you provide great value but you are not earning your full potential. This will be made up by having many happy customers who give you repeat and referral business.

In the end pricing is a very personal thing. But if I believe someone is under or over charging I will say so. It doesn't mean I am right as it is merely my opinion based on industry averages and perceived skill levels. For some it may be an eye openers. For others like Justin here they are aware of it and have chosen to do so for personal and business reasons. As long as the person is choosing to do so with 100% awareness I respect that.

Of course in Justin's case I suspect he has as many of his hours filled as he wants to. And if he isn't working 40 hours a week that is by choice not by lack of clients. I've spoken with him a bit directly and he has earned my utmost respect. I believe that talking to him and reading his posts will provide me with great value. Something I would be willing to say about very few people and the others I believe are aware they are on that list.

Justin is providing amazing value to his clients and has a multitude of satisfied customers. Justin is doing what a lot of people on here would love to be doing. And that means all of us can learn something from him.

I think its a semantic difference, every thing you do to make money has an hourly rate...if you make X and it takes Y hours to make it you make Z an hour. So if you bid out a job you should know what you want to make and about how much time it takes to service the client...so yes you might need several clients to work 40 hours but very achievable.

Thanks

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jsoli

11 years ago

Good stuff Justin.

I've not had a great deal of success with local clients. I recently sold one a site so I'm hoping that word of mouth will take care of the rest.

It seems like word of mouth really is the most powerful asset you can have when working in small communities.

Thanks

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bizgrower

11 years ago

Good stuff and style Justin.

For those new to offline services, besides hosting small events as Justin did to get started, you can present similarly for free at Chamber of Commerce events, and host or sponsor MeetUp groups.

Totally agree on Justin's and Aaron's views on pricing. As long as you're happy and thriving... Justin can raise prices later if he's so inclined or needs to.

RE: Aaron's view, I think a lot of new offliners and web designers think in terms of what is a good hourly rate as an employee. Especially if they have been working for $10 an hour or for base/tips while learning the business. Instead, they need to think in terms of what is a good hourly rate for a business and all the overhead and billable hours.

In another thread someone wrote about how she can build a site in one hour. I'd suggest that one needs to incorporate into their pricing the time acquiring the client, meeting the client, getting all the content, all the calls and emails, agreeing upon design and deliverables, almost all involved in the project from start to finish, etc. And, build in a cushion until the next client so you can stay in business and fill your pipeline. Cover some expenses such as having to rework work done by an outsourcer...

Dan

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Justin Says

11 years ago

Originally Posted by bizgrower

In another thread someone wrote about how she can build a site in one hour. I'd suggest that one needs to incorporate into their pricing the time acquiring the client, meeting the client, getting all the content, all the calls and emails, agreeing upon design and deliverables, almost all involved in the project from start to finish, etc. And, build in a cushion until the next client so you can stay in business and fill your pipeline.

Exactly

That's the best way to look at it. I have built websites in under an hour and businesses are very happy with what I've been able to do for them. But I'll also state that I've charged higher for that 1 hour ($200+) and they are extremely satisfied.

Too many think that 1 hour isn't enough.. but it all depends on your skill level and how fast you act. If you spend 30 minutes not doing anything then sure, it's not going to get done. But if your 1 hour consists of nonstop action that you've trained yourself to reach... then it can be done.

And in my case, I'm happy with whatever I charge as long as the client is happy. If charging more is what I want to do, then I will. If charging less makes me feel better, then I do it.

Thanks for your feedback!

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LastingLifeSuccess

11 years ago

Hi Justin,
yes, your confidence level shows through. You obviously have the kind of outgoing mind set that allows you considerable financial freedom. And I am sure you have the technical ability to meet most challenges clients throw at you. Anyway, good job and thanks for the encouragement.

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imlogic

11 years ago

lol at $50 to $75 per hour being "big money".

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Justin Says 11 years ago

Originally Posted by imlogic

lol at $50 to $75 per hour being "big money".

LMAO at the fact that you have to comment on someone else's opinion of what big money is..

I'm very comfortable with what I do and enjoy it. If someone is comfortable charging $200/hr then that's okay too.

I have helped a lot of people out without getting paid a dime because I enjoyed it. It made me a happier person and I was able to help them progress in their ventures.

You know... living in a very small apartment felt like a very big hit for me in the beginning. I was proud of myself, I enjoyed it. The same thing goes for moving into a large house with a pool/hot tub. Funny though.. I'm leaving that big house and downgrading because I just don't enjoy it as much as I thought.

A small apartment/hotel/RV would make me happier so what's wrong with feeling that $50 to $75 per hour is "big money"?
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Igor Fridrihs

11 years ago

Hey, Justin

Value your job and don't be sorry for other's money.

If people cannot pay for your job, they just find another consultant.

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sbishop

11 years ago

it is all about supply and demand. As more and more people are looking for Justin, he will have less time to see them and rates will rise as others are out bid.

I find it interesteing how quickly we jump at a chance to pull down someone who is happy and sucessful in his own eyes.

Justin Congradulations! I will not try to tell you what you need to do becasue you have surpassed 90% of the people on this site. You went a did something!

So everyone who reads this post! be inspired here is another warrior making a living doing what you are tring to figure out how to do!! IT can be done...So go do it too!

Thanks

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bsummers

11 years ago

You do well in generating leads Justin. Hosting seminars or small talks are a good way to get prospects. Sharing knowledge and getting clients in return. Keep up the good work and good luck to you.

Thanks

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I've been consulting local businesses

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