This is a series of posts about getting more clients and building a solid referral base for your private practice. Thanks for the opportunity to share this information with you; I look forward to helping you bring it to life in your business! ~ Deb Legge
Whether you are selling individual therapy, group, workshops, trainings, programs, or products, pricing can be a real challenge.
Many private practitioners limit their income to therapy. For many, those fees are set by insurance companies. However, as more and more clients choose high deductible plans, and as more and more clinicians opt out of the insurance game, pricing becomes a topic we need to address.
Warren Buffet tells us that “Price is what is what you pay; value is what you get”.
In order for people to do business with you, first and foremost, they must trust you. Part of their trust is based on their perceived value of what you have to offer and how that fits with their perception of what the price should be. In other words, people will do business with you once they trust you and if they believe you are providing something valuable for a fair price.
When pricing your services or products, it’s important that you first have a handle on the value you are providing. What is the value of the benefits that come from your product or service? It may be difficult to put a price on “a happier life” or “the ability to go to work every day”, but it is important that you take those benefits into consideration when you are considering the worth of what you provide.
We clinicians tend to undersell ourselves — we don’t charge enough for our services. Are you charging less than it would cost your client to go to dinner at Applebee’s? Compare the benefits associated with a that dinner compared to what they derive from a session with you.
Most people find money for that which they value. Your concern should be more on that than the dollar amount you are charging. Provide value and be fair — to you and your client. If you don’t make enough money this year, you won’t be around to serve your market next year. You have a responsibility to be a good businessperson.
When it comes to pricing programs or products you are selling in your practice, don’t forget to consider value when you are thinking about what might be a fair and reasonable price point.
Also, think about your intention with regard to your pricing. Are you looking to fill your book as soon as possible? Maybe it makes sense to keep a lower fee so you can fill it up and start gaining a reputation for yourself and start raising your fees. Maybe you’d like to see fewer people for more money. Maybe you are looking to serve those who are in need. All of those things have an impact on the pricing you will choose.
Determine the value of what you have to offer. Consider what might be reasonable and fair. Think about your intention. Then set your fees accordingly.
Deb Legge is licensed to teach the Book Yourself Solid® system, created by Michael Port, based on his mega best selling book, Book Yourself Solid® For more information, email me at: DrLegge@gmail.com