Chart of the Day: Value-based vs. Cost-based pricing.
This chart from The Bondsai Blog presents a nice illustration on the differences between value and cost-based pricing.
#professionalservices#valuepricing
If you rely on just a few clients, losing a retainer could have dramatic consequences and even lead to bankruptcy.
Read the full article: Retainers: Useful But Never “Easy Money” Recurring Revenue (MRR)
▸ https://t.co/oXwD9DcgB2
#MRR#Freelance#Agency#Retainers#Pricing
As long as you bill for hours, time will be the deciding factor for what work to prioritize, not the value it brings.
Read more 👉 https://t.co/0G8QIxpsvG
#ValueBasedPricing#Pricing#Freelancer#Agency
If you’re confident about the results you can achieve for a client and not in dire need for cool hard cash, performance pricing could be an option. https://t.co/Fjz2yrU8zV
#Selling#Performance#Pricing
In other words, there’s no way to fail to cover expenses in a business that bills this way, as long as you bill enough hours per month.
Read the full article: Effort/Hourly Pricing: A Not-Great but Surprisingly Popular Way to Get Paid
▸ https://t.co/hOi90wWkK9
Recurring work tends to get boring, even if it’s your best friend for financial predictability.
Read the full article: Retainers: Useful But Never “Easy Money” Recurring Revenue (MRR)
▸ https://t.co/61mFnmsykz
#MRR#Freelance#Agency#Retainers#Pricing
A value-based price has another benefit over cost-based or cost-plus-prices (your base cost plus a fixed margin) – they reward you for delivering more value.
Read more 👉 https://t.co/eNDt3osP0Z
#ValueBasedPricing#Pricing#Freelancer#Agency
Startups, high on ideas, and low on cash, view equity financing in the form of performance-pricing as a great way to bring in professional help now and pay later.
Read the full article: Performance Pricing: Betting on How Good You Actually Are
▸ https://t.co/oHuXLQFbja
@myfreelancehq ^ This is the only thing that matters when it comes to pricing. Everything else is second. Your expenses should have no bearing on your price. It’s like asking what a dishwasher you’re buying cost to produce as a bargaining tactic. :)
A retainer can be a platform for you to provide the services needed to help your clients get the most out of what you’ve already delivered.
Read the full article: Retainers: Useful But Never “Easy Money” Recurring Revenue (MRR)
▸ https://t.co/c4JW7AfZeI
#MRR#Freelance#Agency
The best way to price based on value is to listen for client pain points and explore these.
Read the full article: The Value-Based Price: How to Profit By Solving Real Client Problems
▸ https://t.co/27MeRPcame
#ValueBasedPricing#Pricing#Freelancer#Agency
"Here are seven simple tips for improving your website, including the brilliant idea (not mine) that your website should be about “problems we solve” rather than “services offered.”" https://t.co/RGll8eT7lB
#Strategy #2019 #Bestof
"Feedback is a gift and the foundation of great CX. If clients think you may respond poorly to what they think, or will simply ignore it, they’ll likely keep it to themselves." https://t.co/VfzescGDOy
#Beauty#Empathy#CustomerExperience
Startups, high on ideas, and low on cash, view equity financing in the form of performance-pricing as a great way to bring in professional help now and pay later.
Read the full article: Performance Pricing: Betting on How Good You Actually Are
▸ https://t.co/G73Sbv42Yf
If you have to accept the work on an hourly basis, set an hourly rate that you think is fair but also design your quote in such a way that it’s hard to compare.
Read more 👉 https://t.co/ELW3vRA2lB
#Effortbasedpricing#Hourlybilling#Pricing
Showing recurring and consistent results from websites and campaigns gives you a massive advantage over competing agencies. https://t.co/oWzWsZaYhn
#Retainers#Agency#RecurringRevenue#Freelancer