how to price your coaching services

How to Price Coaching Services

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Learning how to price coaching services is important for coaches. One of the worst moments in a new coach’s life is that silent moment between when you quote your rate to a potential coaching client and his response.

“Will she work with me?”

“Did I go too high?”

And when he says “When do we start”, a new set of doubts creep over you:

“Should I have gone higher?”

“Did I lowball the price just to get a client?”

You know the feeling.  You’ve got the new client and it turns out to be more work than you thought.  Be sure that you know your worth and communicate it to the client up front.

Here are 3 ways to come up with a price for your coaching services.

1. Charging by the Hour

If you charge your coaching clients hourly, how do you know what to charge them?  Did you pick a number out of the air?  What was your rationale?

For coaches who choose to bill hourly, I recommend the following approach to determining what you charge:

a) Calculate what you want your salary to be.

b)  Add to that any subcontractor expense that you may have: freelance writers, web designer, etc. This is your “labor total”.

c)  Add all your expenses: phone bill, advertising, promotion, rent, self-employment tax, supplies, tools, etc.  This is your “non-labor total”.

d)  Add your labor total to your non-labor expense total.

e)  Add in any profit goal you may have for your business.

f)  Letters (d) plus (e) equal your Total Required Revenue.

g)  Divide your “Total Required Revenue” by the number of BILLABLE hours for the year.  Remember that you will not be billing 40 hours/week.  The result will be the amount you need to charge per hour to make your salary goal.

If you bill hourly, take the time to complete the above exercise and, if necessary, increase your rates accordingly.

2.  Pricing Coaching Packages

Coaching practices are a great way to price your services. You should still use the formula above.  Then break your packages down according to the formula. For example, if your hourly rate is $100 an hour, create a 3 session package for $297 and a 6 session package for $557.

Give your packages names such as Success Package $297, Ultimate Goal Package $557.  Or Silver, Bronze, Gold packages etc.

3. Compare other coaches in your coaching niche.

One idea is to check out life coach salaries and the average prices that other coaches are charging. You can check out this Life Coach Salary link for more information.

Here are some tips when pricing your coaching services.

1. Try not to bargain.

It can be hard when you have a little bit of coaching clients or need more money, but whatever you do, do try not to bargain with your clients/prospective clients over your pricing. When you bargain, you immediately lower your perceived worth with that person and will set you up for a relationship of nitpicking over every nickel and dime.

2. Provide a “solution” and not a “service.”

Ensure your coaching clients understand the benefits they will receive from working with you.  You are not providing them a service; you are providing them a solution.

The difference is that people value solutions more than they do services.  Whenever discussing price with a potential client, focus on the benefits, the “solutions” that she will receive as a result of hiring you.

Will she have more free time?  Will her business see an increase in profits or clients?  Know the benefits and speak to them!

3. Be prepared to say “Goodbye”.

Not everyone is going to accept your terms.  Deal with it.  They weren’t meant to be your clients anyway and would have just taken up the time that you could use for a better-qualified client.  Save your time and energy for those who recognize your worth – you’ll both be happier and more productive.

Pricing your services is one of the most emotional things you’ll do as a coach. Be sure to take the time to review the clients coaching goal, before just blurting out a price – doing so will save you a lot of time and frustration down the road.

 Plan of  Action:

Calculate what you want your salary to be. Go back to #1 and start from there. Then come up with a price for your coaching service.

Secrets Of Pricing Ebook

Free e-Book: Secrets Of Pricing

Did you also know that 99% of the products I see being sold are too cheap. So much so, that they’re putting customers off instead of attracting them (which is no doubt what they think they’re doing).

Let’s dispel some pricing myths and dig right down to the real facts to ensure you get the most cash in your pocket the next time you launch one of your products.

6 comments on “How to Price Coaching Services”

    • Kisha Johnson Mcrae
    • January 7, 2016
    Reply

    Coach A your content never seems to amaze me. I love these tips. Im getting closer an closer to launching my coaching program so this info is great. As one of your students i must say you are incredible an so humble, i literally love you coach A. You are helping us become successful coaches you are setting the platform for us to elevate on.

    Coach Kisha (stiletto Queen)

    1. Reply

      I love you Kisha!!!! Thank you for being the best part of UCI <3

  1. Reply

    This is the best coaching fee content I have found!!

    1. Reply

      Hi Jason

      I’m glad you found this useful! 🙂

    • Kimberly mcallister
    • August 1, 2016
    Reply

    Thank you so much for the information, very informative.

    • Rose
    • August 23, 2016
    Reply

    This was very helpful. Pricing is one of my greatest issues. Thanks for the information on the breakdown.

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