2 | Pricing Your Coaching to Maximise Your Revenue

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Welcome to the second episode of Women in the Coaching Arena podcast. Today we'll be [00:00:30] discussing how to price your coaching to maximise your revenue, and this topic is close to my heart because so many coaches work for free or for really low cost for years, which is not sustainable for the coach.

And while it comes from a good place of wanting to make a difference and make coaching accessible for more people,

coaching. It's also good to [: 00:01:00

So most people would choose the Gucci handbag in front of them. vs us the Primark handbag, because we think the Gucci handbag is better, more valuable. So it's the same if you are pricing or coaching really low or giving [00:01:30] it away continuously for free. People will think it's not as good as it actually is.

Because as a coach you have a unique set of professional skills and experience just like any other professional out there.

free or for really low cost.[: 00:02:00

So you don't need to either. You are worthy of receiving money for your professional amazing skills and qualifications.

the time available and price [: 00:02:30

So first, let's talk about the capacity calculation. So it's a really easy formula that helps you set your pricing strategy. So if you think about your monthly revenue goal, so think about that for a moment. How much do you want to earn per month? And now think about how much you want to earn per [00:03:00] client per month?.

fewer clients you will need [: 00:03:30

So if you're currently charging per session or for a block of say, three sessions, which isn't going to create a really sustainable monthly recurring revenue for you, don't worry, we will now move on to how to create a [00:04:00] really good, tangible, high value offer that can build you a sustainable coaching business.

Let's talk about my intangible to tangible process, because coaching is intangible. The average person doesn't really understand the value of coaching, and so we need to create something really tangible that the average person actually understands what they're buying when they invest in your services.

have a think about what Hell [: 00:04:30

Where are they now? In tangible terms. What are they actually doing in the morning? What are they doing in the afternoon or at lunchtime? What are they doing in the evening? Are they waking up dreading the sound of that alarm because they have to drop their kid off at nursery at seven in the morning and rush on that train.

What's going on for them in real terms in their life right now?

think about what does Heaven [: 00:05:00

What do they say in real, real words, do they want. Work that they love? Would they call it work that they love or would they just say, I just want to [00:05:30] earn a living around my kids? What do they actually say in their terms?

o for example, if your ideal [: 00:06:00

They are the general milestones that would need to happen to take your ideal client from Hell Island to Heaven Island if they wanted a great career.

So [: 00:06:30

So now you are clear on the dream that your ideal client has and how you'll get them there.

worried about the word offer [: 00:07:00

They will play their part because it's their actions that will generate their results. You know, there is nothing we can do, no matter how much of an amazing coach you are to take those actions for them. So it's about knowing that most people [00:07:30] realise that it's their responsibility. So just like , you sign up for a diet, or a gym membership, you do not expect to get fit if you eat biscuits every day and don't show up at the gym. Just like your clients will realise if at the end of their coaching session they commit to reflecting on their strengths or whatever might come out of your session, and then they arrive at the next session and they haven't done it, they will generally know, they didn't do their part.

st people understand that if [: 00:08:00

.3. And so step three, finally, we need to choose your price. So when determining your price, it's easy to think as a coach that it's all profits, especially when you start out. I remember I definitely said to my first coaching group that I went to, but , isn't this all money in my pocket.

siness development, on extra [: 00:08:30

it subscriptions branding photography

tax, for example. So, that gives you hopefully a rough guide that even if you are thinking of it as say, 200 pounds a session, actually it's really a hundred pounds a session.

So now you may be thinking well, how much are we talking here? Like, what's, what's normal? What's not? So what I say to people is that

it's [: 00:09:30

So for example, if you are helping a really big corporation solve a really important problem, then your price will be high. If you are helping somebody to set up, say, a lead magnet, then the price is gonna be much lower, like, yes, it's amazing to have a lead magnet. Don't get me wrong, I teach that myself.

ng, then that may be a lower [: 00:10:00

So finally, let's address the questions in your mind that may have been coming up throughout this episode. So maybe you've been thinking, well, that's all well and good saying this, Jo, but who's gonna pay that? Or you might think I'll never be able to charge that much. It's unethical. [00:10:30] Or you might think I would never charge those sort of fees.

ccessful providers for their [: 00:11:00

And if you think about it, in the first sense, like most women do, then you will literally turn away opportunities, And I see this happen all the time with the amazing women I work with. If, for example, they're discussing work with a charity or a not-for-profit organisation, they immediately assume that that means they need to work for free.

se if they're a good person, [: 00:11:30

And again, back to the lawyers, the accountants, [00:12:00] all of the other professionals working with charities. Are they doing the charities accounts for free? Are they advising them about their legalities for free? So answers on a postcard. I would love to know if other professionals are giving their professional service away as regularly as so many coaches do.

m a charity would make you a [: 00:12:30

And I think to be able to move the needle with reducing that gender pay gap, we really do need to explore our own beliefs. So things like, I don't [00:13:00] want people to think I'm greedy. I don't want people to think I'm money grabbing, I'm uncaring. I don't want people to think I'm horrible. I don't want to feel shameful. I don't want people to think that I'm selfish. And now let's stop and ask ourselves how many men do this work entirely for free. I would love to have the stats on the amount of female coaches doing pro bono work and the [00:13:30] amount of male coaches doing pro bono work. If you have those stats, please do share.

I think it would be super, super interesting because men have been taught that making money means they're powerful. They're a good provider for their family, and of course they'll earn money for their work because they're respected and valued if they charge high fees.

mething to consider, because [: 00:14:00

Because you have professional skills, qualifications, and masses of experience, and you [00:14:30] can transform lives, and you are just like every other professional out there deserving to be paid for the amazing work that you do and the transformation that you provide in this world.

ll feel in yourself when the [: 00:15:00

I'm all in, and I need my prices to reflect where I am with regards to my client attention and

ne of my favorite phrases is [: 00:16:00

And this isn't difficult for you. Anyone who is a coach wants to create amazing transformations. I literally don't know anybody who doesn't. And I speak to people all the time that say, it's not about the money for me, it's about the difference I make in the world. And I'm like, yes, I know. Don't worry.

I don't think many professional qualified coaches are in this for the money.

And it's good to [: 00:16:30

I will always support other women who are in the coaching arena as Brene Brown would say

kicked on occasion. I am not [: 00:17:00

Their only contributions are criticism, cynicism system, and fear mongering.

urself on the line. I am not [: 00:17:30

So I see you. I know it's hard. I know it's [00:18:00] challenging and I know it means so much to you to make a difference. So when you are pricing your offers, it can help to do market research or even better ask somebody else who is less attached to exactly what you are working on to do the market research for you because it is an emotional thing, and I think it's also a really deep rooted systematic thing for women to not be able to [00:18:30] really price effectively because there are so many fears around judgment as a woman making money, and also as a woman doing caring work for money. Again, it's not our fault. It is in built that we have always had to take the caring role and expect nothing in return. So it's not an easy thing to overcome. So do seek support in looking into your pricing and what a [00:19:00] reasonable price would be for the service that you are offering?

Okay, so let me summarize where we went this episode.

. 1. So firstly, use the capacity formula to work out what you need to charge each client to reach the financial goal you want each month.

So what's your financial monthly goal and how much do you intend to charge each client on a monthly basis?

Second, let's go through the [: 00:19:30

So the three steps are

1. What's their hell island, where are they now, and what's their heaven island? Where do they want to be?

2. The second step was what does your boat consist of? So what milestones or islands are you taking them past on their journey to Heaven Island?

price? How have you decided [: 00:20:00

Lastly, what beliefs do you need to explore to make pricing, not about you, but about the value that your ideal client will receive from working with you? So what thoughts come up for you when you think about charging for your expertise? I would really recommend writing [00:20:30] them down. If they are going round and round in your head, you cannot explore them.

So write down, they'll think I'm greedy. They'll think that's too much. They'll think I'm not good enough. Write down whatever it is that's going on for you and really explore is it true or is this something that I have literally brought up with that's going around in my head and unable to see a way forward in a rational, logical way.

So it really is imperative, [: 00:21:00

I really hope you enjoyed today's episode and found [00:21:30] it helpful. And like I always say, trust yourself, believe in yourself, and be the wise gardener who keeps on watering the seed.

nkedIn is Joanna Lott and on [: 00:22:00