Need to increase fees? How to Demonstrate Value to Clients
As inflation bites it seems pretty much inevitable that the fee increases so many practices have delayed will need to come into effect. Fee increases can often be a difficult conversation to have with clients and even more so when so many small businesses are already struggling.
So how does your practice demonstrate to already concerned customers that whilst your fees may go up - so will the value you add to their organisation?
In fact taking the time to review and examine your business processes and procedures will be of huge benefit to not only the customer but also to your own practice. Many practices are aware that the last few years have resulted in activities being underpriced or undertaken free of charge. You may be surprised however to realise the cost of that to your business once you delve into the detail.
Taking a little time to understand the true cost of your services will mean firstly you can check that there aren’t some initial savings to be made (through duplication of work or unnecessary delays) and secondly enable you to consider whether perhaps your pricing structure could do with an overhaul.
If you really want to research this you can even begin to look at individual clients - for example discovering more about those who cost more than they bring in will help you to evaluate how you can change your offering. This may well better suit your client’s needs as not only will you reduce costs or save time but potentially evaluate a better pricing structure that adds value to the client and solves your invoicing woes.
Reviewing your practice and its processes will help you make more informed decisions about pricing or where to upsell other services. It may enable you to offer help to make an individual client more efficient which could save everyone money.
What if you could drill down even further and see what individual activities cost? Then you would be able to assess whether you were deploying your team in the most efficient way. Evaluating the roles and responsibilities of your staff may free up time and allow you to take on more clients or offer more services to existing ones.
This is surprisingly easy to do, all you need is some time to map our your processes and understand where the bottlenecks are in your practice. By involving the people in your team who do this day to day you’ll gain massive insight into where the real work is and how you can become more efficient. It will help you to create a pricing strategy that truly reflects the changing way your practice serves its clients.
Most importantly it will also provide you with a roadmap to show your clients exactly where the value in your services are. There is no reason why a change in your pricing should be seen as a negative, rather an opportunity to engage and inspire the businesses you work with.
If you’d like to learn more then take a look at our practice on a page template that shows you how to capture and learn from your business processes. Alternatively get in touch with one of our experts for a quick chat today. We’ll show you how you can make easy and effective improvements to your practice within minutes of exploring your everyday business processes.
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