When you’re providing a service to a client, you’re not actually selling them something – you’re providing a solution to a problem. Think about it. What business wouldn’t exist if there wasn’t a problem that needed to be solved? Zero is the answer. You might have a long list of clients paying you money right now, but are they really seeing the value in what you do for them? And if so, are you charging the sort of money you deserve for the outcome you provide? Over 85% of businesses we see are grossly underestimating the value they put into their clients businesses or lives, and that is because they are charging for what they deem their time to be worth, instead of the value they add to the clients lives. This is a surefire way to punch the clock for the next 40 years until you retire. You’re trading your time every hour of the day, just to survive – in most cases. ￼When we share the concept of high ticket offers with our clients, they often shy away and think their clients will never pay ‘that sort of money’ for what may be seen to be the same product or service they have been receiving already. That leaves us with the task of showing them how to transition from their current fee structure, into receiving a lot more money for something that delivers the same outcome. Here are our top 5 tips for transitioning your current low end clients into high ticket clients with ease and grace.
1. Create Packages
Firstly, you need to create a package. Remember, a solution to a problem. Let’s say you’re a lawyer and you specialise in the area of personal injury. Sure, you can charge $500 per hour all day long but if you could find a common issue, or set of issues, and package a solution that would overcome these common issues, I guarantee you can charge more money for the same outcome. You need to look at the common threads that lead to the solution for the client, and turn that into a package.
2. Tie A Nice Big Bow On Top
Let’s say you’re an accountant. Of course you need to provide a monthly service to your clients (you better be…), as well as the quarterly BAS and end of year returns and other work. You could send a bill to the client each and every month, waiting for payment each and every month, or you could create a solution to the full years client needs and create a package with a nice big bow on top. Let’s say you have 3 tiers depending on your clients needs – Bronze, Silver and Gold. All packages solve problems for your clients depending on the need of them at that time, and because you have the boxed up package, you now have something tangible to sell them – instead of an unexpected monthly bill for photocopying….
3. Reposition Your Offer
You can’t just replace your current hourly charge with a new high ticket offer without any pushback. That sort of thinking is simply naive. The way you reposition your offer is to let your current clients know that you are introducing packages that are going to be much cleaner and simpler than the never ending hourly charge. The lawyer could say his clients have paid between $11,295 and $48,300 for these services over the past 3 years. He could also say that most people get a bit upset over the general expenses that most lawyers put on top so instead of all that happening, there is going to be one fixed fee so his clients don’t need to worry about things blowing out. It becomes much more user friendly, and it’s a fixed fee with a fixed outcome for the client. It’s a clear win-win.
4. Talk About Value
Let’s say you’re breaking away from the price range of $11,295 and $48,300, and you’ve decided that you will now charge $26,500 as a flat fee. Of course you don’t pull this number out of the sky, but that’s a whole other conversation than what we can share with you in this article. When you’re communicating this with clients, you need to make sure they understand the VALUE and the OUTCOME that it is providing for them. Examples might be that some clients have to make sure the retainer account is full every month or the work slows down if it’s not paid. The outcome takes forever to happen and causes a whole lot of pain in other areas of their business or life. This way, the fee is flat and the outcome will be achieved in a timely matter. Simple.
5. Deliver On What You Say You Will
All you have to do now is do what you said you would to justify the new value. Let’s say the average client has been spending $18,350, but you’re now charging for an outcome and receiving $26,500. Life is good. They have a flat fee and don’t have to worry about the $50,000 possibility, and you make more for doing the exact same service. Of course we have contingencies in place for our clients if it was to exceed $26,500, but here’s a simple way to get you started on your way to transforming those low paying clients into your brand new high ticket offers. At the end of the day some clients will leave, but now you’re charging more money, working with the RIGHT clients and you now have more free time to find more of those right clients. We’ve found the average profitability increase in our clients businesses go from 18% to 34%, just through this one very simple change. If you’re game, sick of working for next to nothing and don’t want to trade your time for an hourly rate for the rest of your life, this is the solution to your problem. Knowing that right now is the best time to get new ideas on how to grow your business – that actually work – we’d like to offer you a totally free introductory resource, so you can scale your business up fast. It’s an eBook, 6 Critical Strategies To 5X Your Health & Fitness Business In 2016, and it outlines some of the initial steps so you can see that doubling your business is a lot simpler than you might think. It’s not like 450 pages of noise that you may have downloaded before. It’s brief, to the point and highly actionable. And you should grab it now. Click Here if you’d like to kick massive goals this year. It’s the starting point of lasting and sustainable principles that will change the game for you in your health and fitness business, and feel free to leave any comments below. You won’t be sorry once you take the leap.