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Whenever you’re running your individual freelancing business, your image is critical. That’s since you most certainly don’t have tens of millions to spend on marketing, so your branding and image need to do a number of the heavy lifting in the case of getting recent clients.
But there’s one aspect of your brand, I’m willing to bet you haven’t given enough thought to—particularly with reference to the way it impacts your small business.
That’s your pricing.
The reality is, your freelance pricing reveals A LOT in regards to the form of freelancer you’re, the forms of clients you need to attract, and the form of business you’re constructing.
Whenever you speak about your pricing or send out a brochure together with your pricing listed on it, you’re broadcasting greater than just numbers to the world.
Without even intending to, you’re sending messages to future and current clients about your brand just by talking about pricing.
Below, I’d prefer to unpack a number of the unspoken messages you send together with your freelance pricing.
None of those is necessarily good or bad, right or unsuitable (unless, after all, you’re sending a message you don’t intend to), but as an alternative offer an outsider’s view into what your pricing reveals about you and your small business.
You may also know exactly what you need to be charging to grow your small business and hit your financial goals through the use of our free freelance rate calculator.
If Your Pricing Is Low
First, in case your rates are inclined to be lower than most of your competition, you could be saying:
“I’m option should you care most about your budget.”
This isn’t necessarily a foul thing. There’s loads of room for lots of business and revenue at every price point.
In truth, you would possibly enjoy working with clients who’re more budget-conscious—there are definitely just a few perks that include that territory.
The danger you run when competing on price alone is you may also inadvertently be saying:
“I’m not ok to compete on talent or skill, so I compete on price.”
Self-awareness is sweet. And perhaps you aren’t the most effective at what you do (yet). Low prices are great for making a break right into a recent market, getting began as a young freelancer, or making some extra cash.
There’s nothing inherently unsuitable with competing on price. If it’s what you’ve started working with now, leverage it. There may come a time when you think about raising your rates.
If Your Pricing is Average
In fact, you can raise your rates up a bit should you find you charge lower than your competition. Here’s what you could be saying to potential clients in case your pricing is on-par with the remaining of the freelancers in your space:
“I’ll do good work for a good price.”
And, truthfully, there’s nothing unsuitable with doing good work for clients at a good price. The one risk you actually run here is being a bit too…. Vanilla. A bit too… plain.
You could wander off in the group.
Without an outlier price (high or low) to attract attention, chances are you’ll end up only getting 1 of each 12 slices of the proverbial pie.
If Your Pricing is High
In fact, you possibly can charge premium rates for the work you do as a freelancer—an motion that also speaks loudly in its own way.
If you’ve got rates which can be higher than most of the other freelancers in your industry, it is best to probably be prepared to back up those prices because one thing you’re inadvertently saying is:
“I’m the very best quality option (or a minimum of I feel I’m).”
In fact, in case your portfolio isn’t mind-blowing, you run the danger of by accident saying:
“I’m cocky.”
It’s protected to say you almost certainly don’t want that. While cockiness works for some people, it’s a turnoff for many business relationships.
One other unspoken message you’re saying if you charge higher-than-averages prices is:
“I’m in high demand and only take clients I would like.”
When your prices are higher, your desperation level appears to go down. This may actually be an awesome psychological tool to make use of when booking recent clients. If you happen to truly can live without their business, it makes some clients need to work with you much more.
If Your Pricing is One-Time
In fact, the quantity you charge isn’t the one pricing detail you’ll need to listen to.
The way you bill your clients may also speak volumes about your brand, your small business, your services, and also you.
If you happen to primarily offer one-time pricing, you could be saying:
“I solve one-time problems.”
This particular model works well for certain people. In any case, a marriage photographer (hopefully) doesn’t get hired on a repeat basis.
If you happen to’re not careful, though, you would possibly by accident be saying something like:
“I’m not committed to helping you achieve the long-term.”
While which will or will not be true, freelancers who do “one-off” jobs for clients as an alternative of working with them on a more medium- or long-term basis are simply more expendable.
If Your Pricing is Recurring
Alternatively, should you offer recurring pricing (a monthly subscription to your services, for instance) you’re showing your clients that you simply’re all for supporting them over an extended time period.
In essence, you’re saying:
“My service is so useful, it’s price paying for each month.”
In fact, it could backfire. There are many shady service providers on the market who just send a contract invoice on autopilot every month whether or not they’ve done any work or not.
Not cool.
That signifies that some client who see recurring pricing might imagine you’re saying:
“I’m going to bill you each month because I care most about money.”
While, after all, that’s not true in your case, it’s essential to acknowledge how your recurring pricing could possibly be interpreted.
If you happen to’re concerned recurring revenue could turn off a possible client, chances are you’ll want to start out with traditional one-time pricing after which convert your one-time clients into recurring revenue down the road.
If Your Pricing is Non-Negotiable
Many freelancers are willing to barter with potential clients on their rates. In truth, most clients almost expect to find a way to haggle after sending a proposal.
But in case your pricing is non-negotiable, here’s what you’re really saying:
“I do know what I’m price and should you’re not willing to pay it, that’s comfortable with me.”
In fact, this pricing strategy only works should you truly can live without the additional business. If you happen to’re firm in your price, you’ll lose some business—little question about it.
But you’ll also gain back all of the additional time, headache, and stress that comes together with haggling, negotiating, or remembering each client’s unique pricing structure.
If Your Pricing is Flexible
If you happen to decide to go together with a more flexible pricing plan there are also unspoken belongings you could be saying. For instance, your client might think you’re really saying:
“I’m willing to work with you on price because I want your small business right away.”
This might be particularly true if you’re just getting began as a freelancer and want clients as a way to construct a solid portfolio.
Nevertheless, should you’re not careful, you would possibly by accident be saying:
“You can talk me down and don’t need to pay full price for quality work.”
You definitely don’t want that. It’s a tremendous line and chances are you’ll select to regulate your strategy as your small business grows.
What does YOUR pricing say about YOU?
Now that I’ve given you just a few ideas on what your pricing might actually be saying about you and your small business, it’s your turn.
Take a moment this week to reflect in your pricing and if it’s really saying what you wish it to say about your small business.
Whether it is, great. Proceed on.
If, like many freelancers, you’re sending the unsuitable message, it could be time for an adjustment.
This post was originally published on the Honeybook blog here. It has been republished here with permission from the copyright holder.
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