Busting Through 5 High-Fee Myths

THIS?is your lucky day...

You're getting my?"High-Fee List o' Myths"?about all the reasons smart speakers, consultants, and authors like you give for NOT embracing the?high-fee expert?model.

Some of these reasons are plain dumb - and some are devilishly logical because they sound like they make perfect sense - but they're completely wrong anyway.

Here we go:

?Myth #1: "My clients can't afford higher fees."

?Truth #1: You need better clients. Stop selling to brokeass losers and everything in your business will improve - your marketing, sales, finance, operations, and customer service.

?Myth #2: "If I suddenly start charging way higher fees, I'll price myself out of the market and no one will buy from?me."

?Truth #2: If you start charging way higher fees, you will TURN OFF the "freeple" - the people who want everything free but never buy anyway; you will REPEL the "cheaple" - the bottom-feeders who want everything cheap and are the biggest pain in the ass when they do buy; and you'll [finally] ATTRACT your people - the premium clients and audiences you MOST want to serve and MOST want to help.

Food for thought: have you ever considered what it would mean to your business to dramatically raise your fees and suddenly price yourself INTO a whole new (higher) level of client?

?Myth #3: "I need to generate cash flow right now so I'll keep selling my next few clients or projects at the old prices - or offer discounts to get even quicker sales."

?Truth #3: Low fees have nothing to do with quicker sales. And high fees have nothing to do with slower sales. I'm sorry - this is total BS. In fact, it is the opposite in many cases: your low-fee clients take forever to decide to buy. And your high-fee clients buy on the spot when they see the right offer expressed in the right way to solve their exact problems at the right (premium) fee.

Food for thought: Your professional services are not commodities like we studied in 11th grade economics - there is NO connection between supply and demand when it comes to pricing. Lowering your fees will NOT get you more clients. Raising your fees will NOT get you fewer clients. You're not a pork belly. This is all about connecting with DIFFERENT, better, smarter clients.

?Myth #4: "All things being equal, everyone wants to pay less for my services - I'm having enough trouble closing sales at my old prices!"

?Truth #4: All things are never equal. Your experience may be limited to the people who are attracted to your low prices. If you do a customer survey at Walmart, very few of those people will own a Porsche.

Does that mean there's no market for Porsche's? Interestingly, Porsche makes $23,000 net profit on every car it sells, making it one of the most profitable auto brands.

Food for thought: According to Bloomberg BusinessWeek, the fallout from the?economy is still affecting sales of mainstream car models, but expensive luxury and exotic cars are selling quite well. Their wealthy buyers simply weren't affected by the stagnant global economy so -- unlike the typical VW or Chevy customer -- they aren't hesitating to make new-car purchases.

?Myth #5: "People buy based on price. To sell more, I should probably cut my prices, not raise them!"

?Truth #5: People buy who they are. There are Timex people. And there are Rolex people.

A Timex prospect would never pay more than $150 for a watch (the average cost of a Timex is around $40.) That's just who they are.

A Rolex prospect would never pay LESS than $2,500 for a watch (the average cost of a Rolex is around $12,000.) That's just who they are.

People buy based on their IDENTITY. Think about this - there are Mac people and PC people. There are BMW drivers and there are Ferrari drivers. There are Wal-Mart shoppers and there are Target shoppers. Almost zero crossover.

Stop selling to Timex and start selling to Rolex and you'll discover that premium clients EXPECT to pay premium fees. Anything less, and they say, "Hmm, this doesn't sound like it's for?me."

Boom!!?(That was the sound of your low-fee business model, your low-fee excuses, and your low-fee services getting blown to smithereens.)