Pricing is a funny thing. Everyone with a service-based business has to make decisions about what to charge, but no one really talks about how to make those decisions.
Working with thousands of nutrition professionals who are That Clean Life for Business members, I get a lot of pricing-related questions and see a lot of mistakes being made when it comes to charging for nutrition services.
Today I'm sharing the five most common pricing mistakes I see, so you can avoid making them in your business.
1. Not Listing Prices Online
I see a new trend in the nutrition industry to push leads to book a Discovery Call where they can learn about pricing.
I think this is a big mistake.
The very first step in creating a great client experience is to make it easy to find your services and how to work with you. Nothing is worse than when a professional doesn't list their prices online. This is a surefire way to turn hot leads cold, and no one wants to do that!
If the reason you're not listing your prices is fear of competition, fear that your potential clients will think you're too expensive, or because you're not really sure what you should be charging, you need to up-level your mindset.
Post your prices online. End of story.
2. Undercharging On Purpose
One nutritionist told me that she was under-charging on purpose to build up her client list and that once she had enough clients she would raise her prices.
Worst. Idea. Ever.
If your only selling point is that you are the cheapest option, you will only attract price-shoppers. And price-shoppers will never become loyal customers because you will always lose them to a better deal. Competing based on price is a race to the bottom - and no one wants to be at the bottom!
Instead, set yourself apart by creating an amazing client experience, being the best nutrition professional you can be, and picking a profitable niche. That's how you grow a business.
3. Worrying About What The Competition is Charging
This is definitely the most common mistake and I will admit I've been guilty of it too. But checking your colleague's prices to determine your own is not a good way to set your fees.
When you're deciding how much your services should cost, you need to factor in how much you have to make every month. You should charge based on your niche, special training you received, what your services include, and the time and support you provide to your clients.
You also need to look at your cost of doing business: office rental, meal planning software, practice management software, dispensary investment, etc. If you're pricing based on what colleagues charge, you could end up with a fee structure that makes no sense in your own business.
4. Charging One Hour For Three Hours of Work
A lot of new nutritionists think that charging $150/hr for their services is way too much. But here's the thing...
One hour isn't really just one hour.
At a minimum, a one-hour session with a client requires prep time, review of forms/files, post-appointment note taking, research, meal planning, and follow-up emails. How many hours are you really spending on your clients when you're not with them? Then there's the time you spend on your business, bookkeeping, marketing, and other tasks you need to pay yourself for because no one spends 40 hours per week on consulting alone.
I see nutritionists charging $60/hr because that number feels better to them, but when that hour turns into three they realize they cannot work enough to achieve their income targets.
5. Thinking Prices Are Set in Stone
Although it feels like a huge decision, your prices are never set in stone! As you grow professionally, your prices should increase. Continuing to invest in your education and tools to run the best practice possible will increase your value as a nutrition professional. Don't be afraid to let that value be reflected in your prices.
If you've been in business for a few years and have never increased your prices, it may be time to consider that.
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