Your money mindset really does affect all areas of your business, but it especially affects your pricing (and your business finances, but we’ll talk about that another day).
When was the last time that you thought something like:
“How does she charge that?”
“I can’t charge that much.”
“No one will buy from me.”
“But this is easy for me. I don’t need to be charging for it.”
“I have no idea what to charge for this.”
“I don’t think my audience will pay more for this than they already do.”
Every single one of these statements is a money mindset issue. You may or may not have these. You may have other statements running through your mind that I didn’t mention above.
The thing is, though, when you let these stories take over, you won’t be charging what you need to be charging in your business, therefore, you won’t be making the money in your business that you really could be making.
Maybe you’ve been thinking about offering a product in your business. But you’ve just been sitting on that product because you have no idea what to charge for it.
Or maybe you have a product that your charge $5 for. People buy it. But they won’t buy anything else from you. And this product is worth much more than $5, but you don’t feel comfortable charging more than $5 for this product.
Or maybe you’ve been charging $300 a month for a 1 on 1 service where you work with your clients 5 days a week creating content for their social media. And you don’t want to lose the client by charging more than $300 a month, even though your service is worth $1000+ a month.
When you have these money mindset issues popping up, it’s not something that you can just change overnight.
You won’t feel comfortable making the changes. In fact, thinking about the changes will most likely make you want to vomit.
Like how do you raise your rates from $300 a month to $1000+ a month?
Or start charging $17 for a product that you have only been charging $5 for?
Or just start selling your product that you’ve been sitting on for months (years?) because you are too scared to charge for it?
Need more help with pricing your stuff?!
Join the LIVE class on August 15, 2020 at 1pm ET, The Quickstart Guide to Master Your Pricing.
Stop guessing or pulling a number out of thin air.
Charge what you should be charging to make money in your business once and for all.
One way is to feel the fear and do it anyway.
You are always going to have fear around something when it comes to your business. But you don’t have to admit it to the world, just admit it to yourself.
Admit to yourself that you are scared.
But then, pick yourself back up and go out there and do the damn thing.
Put your stuff up for sale.
Raise your prices, finally.
Not everything you do in your business is going to be comfortable.
But isn’t it easier to sell less of a product at $1000+, than it is to sell something for $300 a month, when you are doing the same amount of work.
If you aren’t happy with the amount of money you are making, you will sabotage yourself from making more sales.
You can do things incrementally.
You aren’t the kind of person who can just raise your prices from $300 to $1000+ overnight. That’s fine. I understand.
But you need to work on increasing your prices.
Start with going to $500 a month first. And defining what you offer in very clear details, as well as setting boundaries around your time while you work.
Then after you make 2-3 sales at $500 a month, raise your prices to $750 a month. Do the same thing, make 2-3 sales, then raise your prices again.
Money mindset can be a tricky thing. But you have to just keep working on it every day to make the changes and feel comfortable with what you are charging.
Your prices will ultimately determine how much money you profit in your business.
If your prices aren’t high enough, you will either not make a profit in your business or you will work yourself into burnout mode and not want to continue working in your business.
The product above that you are selling for $5, if you raise the price to $17, originally you would have had to sell 4 of that product to make what you can now make selling just 1.
That is a lot less work. A lot less people that you need to get your product in front of.
Or if you look at the service where you are providing work to your client 5 days a week. Let’s average that to 20 days in a month and say you spend 1 hour a day working for this client. That means you are making $15 an hour doing this service.
You will burn out fast doing that. Mainly because you are going to need a minimum of 10 clients at this price of $300 to pay for your bills and pay yourself. With 10 clients at $300 a month, that’s only $3000 a month. This also doesn’t leave you much other time in your business to be doing anything else.
But if you were charging $1000 a month for this same service, you would be making $50 an hour, which is more reasonable. And you would only need 3 clients to make $3000 a month. Now all of sudden, you have a lot more time in your business to be doing a lot more things.
Pricing will challenge your money mindset
All areas of your business will challenge you to keep growing as a person. The pricing aspect will definitely challenge your money mindset.
And if you allow yourself to stay stuck in your money mindset instead of growing, your business will also struggle to grow. You will also most likely grow to resent your business. Ask me how I know.