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There’s always going to be an “entry level.”
Where you set it is what makes a difference.
Entry Level’ doesn’t have to be the lowest value work.
Keep this front and center when designing your marketing.
Marketing includes all efforts to attract people to your company in the hope that they will eventually buy from you.
Who you attract dictates what they buy.
In other words, if you use a cheap offer to attract people, that’s what they will buy.
If you attract people with an offer that meets big needs, they will buy that.
There is no overlap by the way. You’re dreaming if you think that you’ll draw someone in with a cheap offer and that they will eventually move up to something more expensive.
Why? Because people slot your company into a spot on the continuum of value and significance and that’s where you will stay forever.
Don’t believe me? Look at your own opinion of the places where you shop. Even if McDonalds offered a porterhouse steak cooked to order would you expect it to be of the same quality as if you bought it a Steak House? No.
If you want to stop leaving money on the table, you must stop offering your lowest priced, lowest valued options.
Since it’s tax season now, let’s use a simple example from accountants.
Accountant A offers a basic Form 1040 as their entry level and charges a fixed low price for it. That will attract lots of people.
Accountant B defines their entry level as tax prep that provides confidence, low risk, and representation should any questions arise and charges fees that increase depending on certain variables for the client.
I other words, Accountant B is not selling forms, they are selling impacts, even at the entry level.
The volume will be lower, but the total revenue will be much higher.
The entry level is quite different.
From this entry level, Accountant B is positioned as an advocate, a planner, and an advisor.
Although Accountant A has the same knowledge as Accountant B, B has positioned him/herself completely differently.
The clients that are attracted to Accountant B understand that he/she has a lot more to offer than filling out forms.
That’s the first huge step towards the goal to STOP leaving money on the table.
Here’s another example:
An Executive Coach worked with me to define his three options. Just like all coaches I’ve met, his first plan offered three levels, with the number of sessions and the fee increasing from lowest to highest.
The entry level option was cheap. His marketing plan was to focus on the entry level.
“I want to attract a lot of people” he said. “Once they experience the difference they’ll move up.”
I was doubtful.
I suggested thinking about marketing to the high-need executives he really wanted to attract.
Design that option first and reduce from there.
Once he started thinking about this, he made a significant change.
Instead of differentiating the tiers by the number of sessions, he differentiated them by the speed of the access to him. The “CEO Level” (the highest) would have access to him within 24 hours, most often sooner depending on the timing of the request.
The middle tier would provide access to him within 48 hours, and the lowest level would provide access within 72 hours. (Weekend did not count).
All tiers include unlimited coaching sessions.
He hit the jackpot with this approach!
68% of people chose the middle tier. The remaining were split between the top and bottom, about 16/16.
By marketing the highest level rather than the lowest, he attracted people who gravitated to the middle. This does not happen when you market to the lowest level buyers.
Your company will STOP leaving money on the table when you design your entry level option higher.
People must have 3 options (it’s the autonomy principle proven by behavioral science).
Start with the top, not the bottom, and make sure the lowest level isn’t too low.
Remember it’s your entry level, not your cheap level.
Raise the floor and your ceiling will also rise.
Want to discuss? Schedule a meeting.
