Following my blog post the other day about charging by the hour (and why you shouldn’t do it), John emailed me thusly:
“hehe….reminds me of the story about the guy who complains to his dentist about the cost of a tooth extraction against the amount of time it takes….the dentist says he can make it last much longer.”
Charging by the hour isn’t good for you and your business… and it’s not good for the client, either. It’s full of uncertainty, and you have to burrow into the mucky realms of justifying every minute you spend on a project (yep, I’ve seen people question right down to the minute). It makes both parties grumpy and petty and money-grubbing.
You might be thinking: but my industry is different. My business is different. Well, I think that’s unlikely.
When you’ve been doing what you do for a while, you can estimate more-or-less how long a project will take you and you will of course factor that into your fees. But in the end, you’re not delivering an article or a logo or an hour’s consultation or a training course…
You’re delivering something much bigger than that.
You’re delivering increased credibility, a USP, insights that could change a business, or lifelong skills they could turn into profits.
Charging by the hour is mucky. Some hotels charge by the hour…
You can disagree with me if you like. I really don’t care. I just share what I know, and what I know is this: my profits have shot up, I work with great clients, and I’m a cheery little bunny since I ditched hourly rates. It’s not just down to that, for sure. But it’s a mindset thing you see.
Value yourself and your skills. You can’t put a value on your time because it’s priceless.
Vicky Fraser is a copywriter, author, and entrepreneur. She really did run away with the circus… but when she’s not swinging from a trapeze, she’s showing other copywriters and small business owners how to work with better clients, make more money, and stop missing bathtimes, first words, and dinners with angry partners. In fact, she wrote the book on it. Get your copy here.
PS I almost forgot: I talk all about positioning yourself and premier pricing in my book, Business For Superheroes.
So if you want to make more sales, go ye here and grab a copy.
If you’re not interested in growing your business, then there’s no need to keep reading what you find here!