September 3, 2018

How to Command Higher Prices (For Health Coaches)

Do you want to command higher prices and earn what you’re truly worth?

I’m going to share exactly how you can do that in this video. But I want to start off with a little quote that William Shakespeare once said. He said, “What’s in a name? That which we call a rose by which any other name would smell as sweet.”

Now what the hell does that have to do with pricing? Well, it actually has everything to do with pricing as I’m about to lay out for you here.

BMW vs. Rolls Royce

To make sense of this, let me use the example of cars. I’m walking down my neighborhood here and there’s a lot of cars, a lot of nice ones as well. We know there’s a lot of different car companies: Audi, BMW, so forth but a lot of them are actually owned by the same parent companies and there’s this phenomenon in the car industry known as platform sharing whereby the same car, two cars, are the same but they’re under different brands and have a very different price point.

So let me use the example of BMW and Rolls Royce. BMW has a car, the 750I, which is kind of like their mafia version, their mafia car. I believe, it goes for about $100,000, okay? So that’s kind of the ticket price.

Then we have the Rolls Royce Ghost and this car has the exact same chassis, exactly the same car, a little bit more powerful engine than the BMW 750 yet it’s priced at three times higher at $300,000, give or take a couple of bucks here and there.

So what’s the difference? Sure there’s a difference in stitching and a couple superficial things like the way it looks and stuff but under the hood, under the carcass it’s the same car.

Rolls Royce is $300000, BMW’s $100000-ish. Okay. So why is that?

The reason the Rolls Royce is more expensive is because Rolls Royce, way back in the day, chose to be more expensive. That’s it, that’s it, guys.

The Internal Game You Play

If you want to command premium prices, it’s your choice. Nothing more than an internal game. You decide what you want to charge. This is the biggest sticking point for almost everyone we work with. “If I charge this, people aren’t going to enroll. They’re going to think it’s too expensive.” And that’s true. It is true. There will be people who think it’s too expensive and they’re not going to enroll with you.

But who cares? Some will, some won’t. So what? Next.

In any given market, there is always a percentage, obviously smaller, who are willing to pay top dollar for a better result, better experience, better service.

I’ve never been on an airplane where first class was empty. Have you? Probably not. You know the Four Seasons Hotels? Are they hurting for business? No, they’re not. People are paying thousands of dollars a night to stay there in some cases.

So it’s really an internal game that you have the choice to overcome or let it stand in your way and if you don’t feel comfortable charging premium prices then don’t until you get comfortable commanding them because if you don’t feel confidence in asking someone to pay you a certain amount of money, which is a lot more than probably what you’re asking now, then they’re not gonna see the value in that because you don’t believe in yourself.

How to Position Yourself to Command Premium Pricing

So there’s a couple ways we can position ourselves and the key word is position ourselves here to command premium prices because that we’re trying to do here is essentially crafting celebrity, crafting authority.

Think of it this way, Kim Kardashian, what type of value does she bring to this world? Not a lot. I don’t think so. She’s not helping people in any way, shape or form that I’m aware of but her perceived value is extremely high so when she shows up at a restaurant or she does some type of sponsored campaign or a co-branded opportunity with another company, she gets paid a lot of money. Why is that?

It’s what’s known an intrinsic value, which the value that we attribute to something which has nothing to do with its actual value, is the most important thing. That’s why celebrities get paid a lot of money to appear on billboards for a cologne or to do a commercial for a car because people, advertiser, companies, know that we humans are irrational.

We tend to think that if a celebrity gets behind something that it’s good for us and we’re going to buy that as a result of that association and that’s the way the world works. That’s not going to change.

What we want to do is we want to craft celebrity in our business and all it comes down to is you making, number one, a decision about, “Hey, I want to be someone who commands premium prices.” And if that were the case, how do I have to position myself to do so?

The only question you have to answer is, how do I want my market to think of me as? That’s it. And you just reverse engineer everything from there.

In our health business, Accelerator Workshop, this is one of the things we talk about is positioning. It is what do you want to be known for? What do you stand for? What do you want your market to know you as for to think of you when they think of acts?

There’s a couple of ways you can position yourself. You can think of being contrarian, you can think about being exclusive. You can think of being popular, right?

So popular in terms of a huge following. If you have a huge following, there’s safety in numbers. If a lot of people are doing your stuff, it’s a lot easier for other people to do it as well but if no one’s eating at your restaurant, no one’s going to want to eat there. That’s an example.

Exclusive would be, for instance, in our case, right? We’ve taken the exclusive approach. There’s only two ways that we work with our clients and we don’t offer anything else. There’s no lead magnets, there’s no seven dollar trip wire offers, there’s none of that nonsense and that’s just the very, strong decision we made because we know to serve our clients at the highest level, we can’t waste our time with stuff like that.

You can position yourself however you want. You can be contrarian, you can be controversial, you can do all sorts of stuff like the Food Babe Vani Hari. she took the approach of being contrarian and she built a huge business based on her passion around taking on the food industry pretty much.

You need to think about this stuff. You need to think about, how do I want to be perceived in the world?

For me, I’m the world’s leading coach for health and fitness entrepreneurs who want to grow a predictable and profitable coaching business with less stress. That’s me. That’s the message I’m putting out there and whether or not you believe that, that’s okay, whether or not it’s true because a lot of other people could say that as well. But can they back it up? Not too sure.

So you want to think about instead of just being a health coach, instead of just being a nutritionist, instead of just being a fitness expert, you need to position yourself as a Rolls Royce of your industry, if you want to command premium prices.

There’s a couple things that go into that. It’s all up here. It starts with a decision. You can have a Four Seasons like business or you can have a Motel 8 business, as I talk about in our free training.

Actually, on that note, if you want to go deeper on this and get some big a-ha’s, if you haven’t watched it already, watch the 7- Figure Health Business Blueprint. It’s an amazing 70 minute training and it’s going to walk you through part of this pricing process along with five discoveries I’ve made over the years that have helped us build two seven figure businesses and the exact four step process in Healthpreneur to build our business every single day and it’s exactly how we help our clients as well.

Part of that involves premium pricing so if you want help on this, watch the training and if it makes sense to you, let us know.

We’d love to jump on the phone with you, have a chat and see how we could best support you, but it all starts with going through the training because it will give you some really good context for what it’s all about.

So pricing, guys. It’s an internal game, it’s a decision and going back to Shakespeare’s quote, there’s power in a name. When you position yourself over time and people come to know you as this type of person there’s a lot of power in that. Just like there’s power in Rolls Royce versus other car companies and that takes a bit of time. That doesn’t happen overnight but it starts with a conscious decision.