I talk, teach and blog a lot about the differences between selling value based systems, and selling time based services.
Most entrepreneurs who are in business and make a living off of selling their expertise and knowledge are selling services.
It makes sense because it’s how most business owners present and monetize their expertise, and for the most part, it’s what your potential clients are used to evaluating and comparing in the marketplace.
There are many issues with this approach, but, the main problem is that it becomes very easy for your prospective clients to compare your services directly to someone else’s offerings.
This is a massive issue for most business owners because once your services can be compared directly to another companies offerings, you will usually then be evaluated solely by the price you’re charging.
Once your services can be directly compared to another’s and evaluated on price, you are in a race to the bottom and will never ever get paid what you’re truly worth.
This is why you I see so many entrepreneurs who are struggling with getting paid what they’re worth and being paid based on the value they bring to their clients.
For example, if you are an independent web developer and you develop incredible websites for your clients, but, you propose your development services to your clients as “web development and design” and “website development services” you’re always going to struggle to get paid what you’re worth.
There are literally tens of thousands of web developers in the market place, and many are from third world countries and can afford to develop websites at dirt cheap prices.
If your “web development services” are $5,000.00 and you’re directly competing with people that will do it for 1/10 of the cost…you are going to struggle to get paid based on the true value of what you offer.
But, if you put together a package of all of your most impactful services and present the services to your clients as a proprietary, value based system that is uniquely yours, you will be able to raise your prices and command higher quality clients.
For the most part, your potential clients are used to comparing services and evaluating proposals based on pricing and hours.
Once you get away from selling services, you get away from being compared to other services providers and you get away from bring compared on price.
Once you put together a signature, value based system or program based on results you immediately stop being compared to other service providers and therefore you stop being compared on price.
Your proprietary, outcome based solutions literally cannot be compared to what anyone else is doing.
When you get to this point in your business, you stop having to compete on price and stop having to constantly negotiate your rates and fees to bring on new business.
The value and outcomes that your programs deliver are not comparable with other businesses and therefore you’re seen as unique and much more valuable in your marketplace.
Most people will never make this jump in their business, but, the ones that do will reap the rewards for years to come.
Summary: If you sell services, you have to compete on price and you’ll always be compared to others. If you sell proprietary systems and value based outcomes, you will always stand head and shoulders above your competition and will get paid what you’re worth based on the incredible results you deliver for your clients.
Actions Steps:
- Take the most impactful services that you currently offer and combine them into an outcome based system or program.
- Put a timeline on your system, and make sure that your clients can consistently achieve their ideal outcomes.
- Sell on value, not pricing, and attract high quality clients that want to work hard for their results and get big value.
- Own your process and own your business while bringing incredible results to your clients.
Did You Like This Post? Get Something Out Of It? If So, Learn My Complete PCED System By Clicking Below!
Watch my Premium Clients Every Day video training series now!