The subject of Pricing was talked about in a recent group coaching workshop I ran for a group of accounting firms in the <$1M turnover category. It was fascinating to hear everyone take on pricing a common service and how wide the prices differ for what is a quite commoditised service.
In my early days I was shocked to see the partner in an accounting firm I was working for writing off large amounts of time, taking on additional out of scope work for no extra charge and not re-pricing services for many years. It just made no sense to me. But now coming up on 15 years later I’m still seeing partners take the same actions
- or better put, not taking action of pricing at all.
It seems that pricing is way down on the to-do list of Partners and is that really giving it the respect it deserves?
In this weeks video [below] I share What To Look Out For in your pricing models, where value is slipping through the gaps, alternate pricing methods and being careful when calculated bundled monthly subscription services.
An exercise to challenge your thoughts on pricing is to ask the question: “what if you doubled your prices?” In that case your revenue would double, but you might be thinking “my clients would leave?” Based on doubling your prices you could afford to loose half your clients, still maintain the same revenue but with half the clients!
Food for thought.
Until next week.