Recently I had the privilege to be a panelist at a Dragons’ Nest event hosted by Connecting Women. Four passionate entrepreneurs presented their businesses and we gave them tips and ideas about how they can grow their businesses.

These two videos feature ideas I shared with two of the entrepreneurs. See which suggestions you can use in your business!

As a business owner you’ve probably been asked to give a discount.  How did that make you feel?  Your response to that request is critical to the sustainability of your business as well as to your confidence.

Because after all you’re either worth the price you’re asking or you’re not.  No discussion.  This may sound harsh but if you don’t believe you are worth it, why do you expect your clients to believe it.

Reasons to stop discounting your pricing:

1. It’s no fun

2. It requires a time and energy you can use elsewhere

3. It creates a standard for other clients

4. You’re not getting paid what you’re worth

5. It can lower confidence in your business

Once you’ve made the decision not discount your prices, it will be much easier for you to simply say this in a friendly and relaxed way if you’re asked.  You’re mind is already made up so the answer flows naturally.

If a prospective client is not able, or willing, to pay your prices then they probably aren’t a good fit for your business.  Moving on from people who are not a match allows you to create space for clients who are willing and able to purchase from your business.

There will always be someone offering something similar to what your business offers for the absolute lowest price.  I hope you don’t aim to be that business.

The key is to focus on the value your services and products deliver, not what they cost.  People who truly understand the benefits they will receive when they buy from your business will accept the prices you have set because they understand the value they are going to get.

If negotiating is the norm in your business, there is still a way to be true to the value your business delivers without discounting.  First, get clear about the total value of the offering.  Then if you choose to, you can reduce the amount you deliver, along with the price, which means you are not discounting.

Another way to avoid discounting when negotiating is to stick to your original price and add a one-time, additional bonus for new clients.

While you’re thinking about eliminating discounting, please consider increasing your prices.  Seriously, when is the last time you raised your prices?  And when you did, what was the percentage of increase?  If it’s been awhile since you raised your prices, it’s probably time.

It’s natural that your expertise expands and deepens over time so why shouldn’t your pricing reflect that.  Whether or not you decide to increase your pricing, at least be willing to stand firm on your current pricing and don’t discount.

Think about it, you’ll save time and energy if you stick to your pricing.  And even better, you will feel confident about the value you deliver to your clients (oh yah, and be more profitable).    

So make the decision today that discounting your prices is not part of your business philosophy. Focus on the value your business creates for your clients and watch your business grow.

© Stephanie Ward, 2009

WANT TO USE THIS ARTICLE IN YOUR NEWSLETTER OR WEB SITE? You can, as long as you include this information with it: Stephanie Ward is the Marketing Coach for Entrepreneurs who want to set their profits on fire!  Grab your FREE copy of the special report ’7 Steps to Attract More Clients in Less Time’ plus business building tips, at: http://www.fireflycoaching.com.

Would you like to increase your business?  In Jay Abraham’s book, Getting Everything You Can Out of All You’ve Got, he says there are only three ways (or a combination thereof) to increase your business and make more money.  They are:

1. Increase the number of your clients

2. Increase the average size of sale per client

3. Increase the number of times clients return and buy again

Before we take a closer look at each of these methods, it is important to be sure that the prices you are charging are in line with the value that you deliver.  Meaning, if you are undercharging please consider increasing the investment for your products and services.

Now, let’s take a look at each of the ways to increase business and get you brainstorming about how you can apply them to your business.

INCREASE THE NUMBER OF YOUR CLIENTS

Look at your client data to see where and how the majority of clients find you.  If you haven’t been tracking this start now and in the meantime just go by memory.

Add up the number of clients from each source, see which marketing strategies are working the best and start spending more time doing them.  It’s all about doing more of what works.  This may sound simple, and it is.  It’s just a matter of doing it!

If none of your marketing strategies are working very well, take time to reevaluate and then begin with something new.

INCREASE THE AVERAGE SIZE OF THE SALE PER CLIENT

Take a look at all of the products and services you offer and do two things.  First, think about new valuable products or services you could add to the existing ones to create more interesting packages for your clients. 

Next, consider all of the ways you could bundle existing products and services in various combinations to create new packages.  Look for logical themes or groups that will appeal to your clients.  You could even sell all of your products as one giant package at a discounted price.

INCREASE THE NUMBER OF TIMES CLIENTS RETURN AND BUY AGAIN

A well known fact is that it costs around seven times the amount of money to acquire a new client as it does to sell something to an existing client.  Take a look at your existing clients, as well as your previous clients, and think about what kinds of products and services they would like.

Consider creating ‘follow-up’ or ‘next step’ products and services.  A great way to find out what they really want is to actually ask them what they need.  You can ask via: the phone, e-mail, or a web based survey.

Are you starting to see how you can use these three ways, or a mixture of them all, to increase your business?  Take the time to analyze your business, create a plan, and get into action on increasing your business. 

© Stephanie Ward 2006

WANT TO USE THIS ARTICLE IN YOUR NEWSLETTER OR WEB SITE? You can, as long as you include this information with it: Stephanie Ward is the Marketing Coach for Entrepreneurs who want to set their profits on fire!  Grab your FREE copy of the special report ’7 Steps to Attract More Clients in Less Time’ plus business building tips, at: http://www.fireflycoaching.com.