One of the biggest challenges as a health professional is knowing your worth. How can you possibly determine what your own services are worth? Price too high, and you’ll lose customers. Price too low, and you’re sending the message that your expertise and value aren’t worth much. Not to mention, you have to be able to cover your costs, and earn a decent margin to live off in the process!
At the end of the day, if you know your value and get your prices right, your business will excel!
To determine your value, there are many things to consider…
- How replaceable are you?
The health industry is rising in popularity and competition, but let’s face it, there are few people who are highly qualified and educated in the industry. While you’ll always have competitors, if you emphasise your knowledge base as a reason why clients should choose you over others, you become less replaceable.
Similarly, the more you differentiate your business, the less replaceable you become. Focus on one or two specialty areas, and gain experience assisting clients in these areas – whether it be sports nutrition, fertility nutrition, or anything else! The more you can demonstrate to potential and existing clients that your knowledge is above and beyond anyone else’s, the more irreplaceable you are, and the more your value will increase!
- What are your competitors doing?
Of course, it’s always essential to look at your competitors when determining your worth. If your competitors are charging half of your prices for similar service and knowledge, very few potential clients will choose your business instead.
When looking at your competition, take into account their skills, qualifications, level of service, customer relationships, personalisation… There are SO many factors that can increase or decrease your worth, so make sure you’re accounting for these. If your competitor is charging $50 an hour compared to your $100, but is also inexperienced and offers half the amount of personalisation and unpaid check ins, then your services might balance each other out!
So analyse your competition, but don’t take the prices of others at face value!
- What message do you want to communicate?
Like we mentioned before, your prices immediately convey what you think your services are worth – which sends a strong message to your potential and existing clients!
Low prices can send a message that you’re inexperienced, and your qualifications aren’t worthy of higher prices. It can seem that you’re not the best option for clients to turn to for help, support and guidance.
But on the other hand, if your prices are excessive and seem ridiculous, no one will be willing to pay them when they could find a similar service at a cheaper price. This can make your services seem unworthy.
So it’s about finding the sweet spot in between, and determining exactly what you want to communicate to people about your services!
- Focus on perceived value, over time value.
While the industry normally charges based on time – initial consults, shorter check in appointments etc – it can really help determine your worth if you focus on perceived value instead of time value.
After all, when you’re selling a service, you’re selling results more than time. So it’s the value of these results that you should focus on. If you help someone lose weight, the happier, healthier lifestyle and added confidence they achieve is the perceived value of your service. So charge for it!
While an initial consult may take 90 minutes, compared to a 45 minute check in, the added value for the initial consult comes from all the prep work you do beforehand. Like analysing your client’s pre-appointment questionnaires and determining potential strategies to assist them. These consults seem most valuable to clients as you come to them with a strong strategy on ways to really help them. So naturally, they should cost more.
While check ins may be less valuable as these require less work and effort on your part, and don’t move the dial as much for your clients – so the perceived value of these sessions is not as high.
This applies to your relationships too – the stronger your relationships with your clients, the more trusted and valuable you become to each of them.
So put yourself in your clients’ shoes, and determine how much value you would place on your services, knowledge and expertise. If you’re highly qualified and skilled, and form strong, personal relationships with your clients, they will perceive your value to be far higher – so you can determine your worth accordingly!
- Value your expertise.
Keep in mind, you had to work and study very hard to get to where you are today. That’s worth something! As your business and experience grows, you can build this into your prices, and increase these as you grow personally too.
Remember, you are valuable! Don’t undersell your worth with negative self talk or self-deprecating criticism. Recognise your knowledge, expertise and experience, and the value you’re bringing to the lives of your clients! Own your skills, and your worth.