Congratulations! You've decided to step up and launch your own coaching business.
You may have even started trying to package and price your offers. Amazing!
But that being said, you still might be struggling to get those sales.
Well, look no further because today we’re taking on the topic of properly pricing and packaging your coaching services so you can start securing actual sales.
If you’re new here, I’m Molly Anna Luna, your life and business success strategist. I'm all about helping coaches, consultants and wannabe corporate escapees create lifestyle and financial freedom, or what I refer to as building true wealth. Building true wealth allows us to be present for the moments that matter most.
My goal is to help YOU be able to cut your workload in half, on top of being able to double, triple, or quadruple your annual income! In order to do that you absolutely MUST be properly pricing and packaging your coaching offers.
Sounds like something you need some help with? You’re in the right place.
Let’s get started!
Step One: master your M3
First up, you must master your M3.
I’m talking about your mind, your message, and your mission.
You need to remember that people don't buy what you sell, they buy why you sell it.
Simply using brainpower to land on the perfect price for your services will do you no good. I am a firm believer that you HAVE to do the inner work in order to start seeing those sales rise.
I want you to get to the heart of why you do what you do. You became a coach for a reason. Get in touch with that feeling, and watch how that transforms the way you see your pricing.
To give you an example, I want to tell you about my student Kimberly. Kimberly is a brilliant, highly educated naturopath who believes that everyone deserves to have access to holistic health alternatives so that they can be their most vibrant selves.
Kimberly had already built an in-person business, mostly working one on one with clients. She came to me because she wanted to pivot into online profits. She wanted to get the word out about her naturopathic knowledge and reach more people across the globe. She was SO ready to amplify her income and her impact.
When we first got together I said, “Kimberly, we absolutely must get to the heart of your business. There are plenty of naturopaths out there, so why should we choose you?”
She then started giving me a long list of many natural remedies and treatments and how much power they hold.
Here’s where I had to tell her the hard truth. At the end of the day, because of the product features and their benefits. I said to her, “Potential clients want to know the heart of YOU, Kimberly. What’s your origin story? Why have you chosen to go down this particular path?”
What she needed to do was to master her mindset, her mission and her core messaging before we got together to create, launch and sell her high-level group coaching program.
I encouraged Kimberly to join my Legacy Leaders SOP to dive deeper into that inner work, and so she did. Go Kimberly!
What we discovered after she went through my whole curriculum, and we got on a follow-up call was the most rewarding part.
Kimberly admitted to me that she had completely lost sight as to why I had started down this path of natural medicine. It wasn't until going through my program that it became clear to her again.
She explained that when she was younger she had struggled with her confidence and self-esteem. Growing up in a household where junk food was the norm, she didn’t have many strong examples of nutrition and healthy choices.
Kimberly shared with me that her father had died from type two diabetes.
She told me the story of how she went to college to study biology. It was in one of her lectures where she first heard mention of natural remedies and the power of using whole foods to cure your body.
This experience completely shifted Kimberly’s mindset around health. By choosing to focus on naturopathic medicine, she was able to gain more confidence and was even able to overcome her struggles with bulimia. She’s even more inspired by the ways that her work has been able to help other young women like herself find this confidence and self-love in their own lives.
Getting to the heart of her message made it easy for Kimberly to identify who her perfect client was.
Of course, she believes that every single person is entitled to information about natural foods and remedies, but for Kimberly to grow her business she needed to get even more specific.
Here is what she came up with:
Kimberly decided to solely focus on helping young college-age women understand the ways in which their gut health is closely tied to the third chakra, their power source and sense of self worth.
Since making that distinction, Kimberly was able to create a power promise for her transformational experience for young women to feel more confident in their own bodies just like she was able to do for herself.
This program has had amazing results and proves that people aren’t buying what you sell, but why you sell it. When she got to the core of her origin story, Kimberly was able to master her mind, message, and mission and success followed suit.
Step Two: Do your market research
You thought you were reading this post so I could give you some fool-proof formula on how to come up with your package prices? No way!
We are getting to the root of what you need to know in order to decide how to price your services in a way that suits you and your business perfectly. Part of that is getting to know your clients, or what is also called doing market research.
To help you understand what I mean by this, I want to tell you another client story.
My client Jenna came to me because she had been working one-on-one as a breathwork and meditation coach, and she was ready to get her online business going.
As we were putting together the outline for her high level online group coaching program, I asked her to tell me a bit about her client base prior to working with me.
Jenna described that her ideal clients are 25-35 year old mothers who are working from home, stressed out, overwhelmed, overworked and are looking to cut down on the mommy juice (the wine). She had been helping these clients find more holistic approaches to calming their nervous systems and releasing stress and tension.
Jenna also knew that on average, these particular mommies earned about $42,000 a year and were willing to pay about $500 per month for a high-level group coaching program.
I was incredibly impressed by how much research Jenna had already done about her ideal clients, but I encouraged her to take it a step further.
Challenging her to jump on a few calls with some past clients and prospective clients, I told her to ask open-ended questions about what it is they are currently struggling with. She didn’t need to have the answers to these mama’s problems, she just needed to listen to what they had to say.
When she came back to report her findings she discovered that yes, she was on track with who her perfect client was.
She had gotten most of the demographics and psychographics right. As she had thought, her ideal clients were overworked and stressed 20 and 30-something moms, working from home earning less than $50,000 a year, who were willing to invest about $500/month into coaching.
But - and this is the real kicker - she learned in this call that these women were all craving connection.
Jenna noticed that these moms all expressed the desire to feel more beautiful and truly seen by their spouses. They were longing for more intimacy in their marriage, especially during this pandemic when they were all feeling particularly cooped up and closed off.
This information was a game-changer for Jenna. She went straight to the drawing board and outlined her high-level coaching program designed to help women connect with their spouses intimately. Within two weeks, she had completely booked out her program.
What I want you to take away from Jenna’s story is that it’s not about the price, but actually about the value being delivered. She repackaged her program and refined her messaging to speak to those mommies in need, adding value to the program, but not necessarily touching the price.
Jenna worked hard to get to know her client’s real desires and her research paid off.
Step Three: Know your worth
If you're still struggling in a vortex of confusion when it comes to pricing, don’t give up. In this section, we do start talking numbers, because I want you to know your worth.
I am certain that you've worked your tail off to get to where you are today. Whether you have formal education or not, your life experience is priceless.
What I’m going to challenge you to do is to put a price tag on your time. I want you to calculate your hourly rate.
Warning: I am NOT suggesting that you create a coaching service where you get paid hourly because that is the quickest way to burn out.
I just want you to calculate your hourly rate as a starting point. A concrete fact that you can believe in.
One of the things I am always telling my clients is that mindset mastery is a huge part of amplifying our income, so we have to believe in ourselves and our worth.
I want to walk you through how to do this.
Off the top of your head just think about the last job that you had. Remember what the salary was and then break it down to an hourly rate.
Okay, got that? Great.
Now I want you to set a new annual income goal for yourself. Dream big!
Let’s use $100,000 as the target income for this example.
Then you have to think about how many hours of your life you’re willing to invest in scaling your coaching business.
Maybe you’re a mama like me and you want to work 20 hours a week max and take a winter break, spring break, and summer break off to be with your kiddos.
That would work out to be approximately 36 weeks of work per year.
Now we’re going to take $100,000 and divide that by 36 weeks. Take that number and divide it by 20 hours per week and that is going to give you an hourly rate of $139.
This means that if you’re offering a 4-hour intensive you would need to price it at no less than $566. Or If you were selling an 8-week package, you would have to sell your program at a minimum of $1112.
This might not be the fail-proof formula you were looking for, but it’s an excellent place to start when it comes to knowing how much value your time holds. Knowing your hourly rate can empower you to properly price your programs.
You, my friend, have a unique and awesome perspective that only you can offer. When you know your worth, people are willing to pay for the transformation you deliver.
Do not let your newly calculated hourly rate shock you when you compare it to your former corporate gig. I am here to remind you that you are worth it. Your expertise is worth it. And your belief in yourself is essential to other people's belief in you and your business.
But - before you go, here is one hard and fast rule I have for all my clients: do not sell your high-level online coaching program for any less than $1000.
The people will pay.
Take the Next Step
Whether you want more information on how to scale and skyrocket your high-level online coaching program or dive deeper in properly pricing your services, I’ve got you covered. Apply to join my next free online masterclass Pivot into Online Profits to start taking your sales to the next level.
Remember, so much of business building is that inner game. So keep striving to master your mind and to live your legacy.
Claim your seat to Molly Ann Luna’s (ALL-NEW) Masterclass “Register Now”