The tension in his voice was palpable. “I do not know how to set a value based fee and I’m afraid we’ll lose our shirt with this client.” Chris is not alone in this fear. Firm owners who are determined to adopt Value Based Pricing often face a big opportunity and challenge: a client with … Continue reading How to Avoid Being Underpaid and Overworked
When he turned 10 months old, my Bernese Mountain Dog Gabe became completely impulsive and difficult to control on a leash. He loves dogs and people and he wanted to exuberantly greet everyone who came near. He’s also over 100 pounds and is very strong. My response for 3 years was to work harder and … Continue reading How Much Could You Gain by Letting Go?
Tenacity, resolve, grit, persistence…. We see and hear these words from every source. You need tenacity to reach your goals! Resolve to put one foot in front of the other, even if your feet are blistered and painful. Grit is that internal toughness that helps you power through the difficult times. Persistence means to keep … Continue reading Tenacity and Resolve: Easy to Say, Hard to Do
Too many professional and Business services firms struggle with Value Based Pricing: they fear losing money; they struggle with how to set value based fees for individual clients; and they don’t know how to make it clear to their clients that Value Based Pricing benefits the client. They do know, however, that hourly billing is … Continue reading Disguising Hourly Billing is Still Hourly Billing
One CPA tossed deliverables and doubled revenue in one year. Would double revenue make a difference to your firm? When professional and business services firms work on their pricing, they look at what the competition charges, their own history, their industry “best practices” and expenses. They enumerate their deliverables. Where’s the client in all of … Continue reading What’s the Difference Between Deliverables and Value Delivered?
Congratulations! Your firm has implemented Value Based Pricing starting with Step 1 COMMIT, through Step 2 PREPARE, Step 3 ESTABLISH, and Step 4 TRAIN. Your providers are delighting clients with high value for a fee commensurate with that value. Your internal systems are in place ensuring that engagement agreements and invoicing support Value Based Pricing. … Continue reading One and Done or Consistent Value Over Time?
The call came one afternoon just after I had completed training to talk about Value Based Pricing, including responding to objections (Step 4). I declared we were ready to implement Value Based Pricing. We’d done the phase-in work: Commit, Prepare, Establish and Train. Now it was time for implementation. The Senior VP of Business Development … Continue reading I’ll Never Forget the First ‘Yes’
Adopting Value Based Pricing, which is the only ethical pricing model for services firms, will lead to a complete makeover of the company’s systems and thought processes. It re-shapes everything you’ve been certain about. That’s a great benefit for growth-minded firms and their clients. Certainty can become a trap. Conditions change, and you must be … Continue reading Are You Trapped By Certainty about Your Pricing Model?
Once you’ve committed to implementing Value Based Pricing (see Step 1 COMMIT), it’s time to get started. Successfully implementing Value Based Pricing requires phasing it in. I never recommend trying to flip a switch. Step 2 PREPARE helps you begin the phase-in. No one succeeds without confidence and that only comes from intense preparation. The … Continue reading Every Accomplishment Begins with the Decision to Act
“How can we get our associates to embrace Value Based Pricing? Everyone is so used to living by the demands of their time sheets.” Three professional services firms’ owners and founders asked me this question last week. I hear you! Habits are hard to break and their impact goes deep. Value Based Pricing goes deep … Continue reading Are You Afraid to COMMIT to Value Based Pricing?