We’ve got a game-changing episode for you today, as we tackle the hot topic of equitable pricing and payment plans in the online coaching space. Join us for an eye-opening discussion on creating pricing structures that not only ensure you’re paid fairly, but also make sense for your clients. We’ve got the inside scoop on various business models, the realities of undercharging and overcharging, and the intricacies of offering payment plans.
We’re diving deep into the nitty-gritty of balancing your total weekly working hours across marketing, sales operations, client delivery, and other essential tasks. Discover how striking a balance between earning a living and providing accessible services to clients can lead to a thriving coaching business. Plus, we’ll share a handy rule of thumb to keep in mind when pricing your services.
And, for those of you curious about payment plans, we’re dissecting the complexities of offering installment options to clients. Learn how to calculate risk without overcharging and consider the average credit card interest rate to determine what to charge for payment plans. We’ll also discuss payment plan lengths and how they should be determined based on the product or service being offered. Don’t miss this enlightening and invaluable conversation on creating equitable pricing and payment plans in the online coaching industry.
Chapters & Key Points
Equitable Pricing and Payment Plans (15 Minutes)
We discuss how to price services in an equitable way that pays you an equitable salary, how to make sure that the prices make sense for the people that are coming into it, and whether payment plans make sense. We also look at the blog post where I outline three of the most prominent types of business models, and use an example of one-on-one coaching to explore pricing and the hourly rate for client delivery.
Pricing and Client Capacity in Business (8 Minutes)
We explore the importance of taking into consideration the total hours you want to work per week in your business and divvying them up between marketing, sales operations, client delivery, CEO of SAS, divisionary work and finances. We also discuss the realities of undercharging and overcharging, and how to make sure that you are not sacrificing yourself in the process. Additionally, we provide an insightful rule of thumb to consider when pricing services.
Considerations for Pricing and Sales Processes (10 Minutes)
We consider the complexities of pricing services and programs for our clients to ensure an equitable commitment. We balance the financial risk of our clients with the need to pay ourselves an equitable salary and discuss the nuances of setting up our services and programs. We also consider how this affects the individual’s ability to manage the high levels of adrenaline and cortisol that come from being in a financially risky situation, and how this is not necessarily a bad thing for those who thrive in that environment. Lastly, we emphasize the importance of considering the total hours you want to work per week and how that affects your ability to make a living while also being mindful of offering services that are accessible to all.
Pricing and Payment Plan Strategies (5 Minutes)
We unpack the complexities of offering payment plans and installment plans to clients. We look at the risk factor of putting someone on a payment plan, and how to calculate for that risk without overcharging. We also consider the average credit card interest rate to get a range of what to charge for the payment plan. We discuss payment plan length and extended payment plans, and how a payment plan length should be determined by the type of product or service being offered. We also look at the importance of taking into consideration the budget of the client when it comes to payment plans, and how to create payment plans that are fair and equitable for both parties.
Episode Keywords:
Online Coaching, Equitable Pricing, Payment Plans, Business Models, Client Delivery, Working Hours, Marketing, Sales Operations, Undercharging, Overcharging, Rule of Thumb, Payment Plan Length, Credit Card Interest Rate, Risk Factor, Budget, Fairness, Equitability
