Back in 2010, I was charging $15 an hour for my time — and the thought of asking for more seemed… well, outrageous.
But let me tell you a secret: I was wrong.
Let’s talk about pricing. It’s not a reflection of your self-worth but the VALUE you deliver.
Here’s where it gets fun:
I’m about to guide you through crafting your first five product, program or course offers with examples and pricing strategies so you can build an integrated product suite that pays you what you’re worth!
Ever felt like you were pushing too hard, too fast in your business?
You NEED sales — so you get a little too aggressive with people who don’t know you yet…
But — you want to be careful not to run your prospects off by trying to sell too much too quickly…
Instead, start small: make them a relatively low-priced, low-commitment offer — something they can easily say “Yes” to.
Think of it like offering a warm, inviting cup of coffee to a new friend.
If your “coffee date” goes well… they’ll be much more likely to go to the next level with you.
Now, here’s a twist that might surprise you… IF you’re creating your FIRST offer… I actually recommend you start with your third offer FIRST…
Why? Because when you’re just starting out, you have limited time and resources… and your focus should be on making sure your value and message are REALLY dialed in before you invest time and money into attracting a ton of leads.
With your third offer, you’ll need fewer leads to start making real money in your business — FAST.
So, if this is you… start with your third offer — which I’ll cover in a bit — and keep watching to see what your complete integrated product suite may eventually look like…
And, if you’re already in business… follow the progression of pricing and offers I’m about to share to take your business to the next level… and the next again… by filling in any pieces you’re currently missing.
In general, your first offer should be below $500.
For example, you could offer…
- A $27 video training with PDF workbook
- A $47 package of done-for-you templates
- A $97 50-minute phone consultation with you
- A $197 entry-level online course
- Or a set of 3 coaching sessions for $497
Think of your offers as stepping stones in a relationship.
From a casual coffee to an intimate dinner… each step builds trust and value.
So — in your second offer, you get to elevate the commitment…
If your first offer is a video training and PDF workbook for $27, your second offer may be a 30-minute private coaching session with you for $97.
If your first offer is an entry-level online course for $197, your second offer might be for a more robust online program for $997.
Are you starting to see the price progression here? Each offer is a 3-5x jump in price.
And — when the price goes up — so does the level of commitment.
Don’t offer a massive transformation that requires a significant amount of commitment or work for less than $1,000.
Also – the more access your customers have to you directly, the more you can charge!
Let’s do a quick rundown of some good second offers…
- You could charge $997 for a more in-depth online program
- $1,497 for a live 3-day retreat
- Or $1,997 for a program where you offer small group coaching
Now, your third offer deepens the connection (and commitment) even more.
Think about it like being welcomed into someone’s inner circle.
When creating your third offer, ask yourself:
What’s the new, bigger problem someone has now that they’ve consumed your second offer and gotten a result?
OR
How can people have more direct access to you and the unique value ONLY YOU can provide?
You’ll want your third offer to include more access and a bigger promise than your second offer — for example a small group program… or you can go even deeper and create an offer where you work with a customer one-on-one.
If your second offer is in the $495-$2,000 range, your third offer might be in the $1,995 to $5,000 range.
Some examples of good third offers are…
- A $1,997 30-day private coaching program
- A $2,997 intimate group coaching program
- Or a $4,997 done-with-you service — for example, you or someone from your team guides a customer through how to create a high-converting sales page or design a great website.
This isn’t to be mistaken for a done-for-you service… we’ll get to that in a bit.
Now that you’ve gradually increased the value you provide and the level of commitment required of them, it’s finally time to pop the “big” question…
Your customers are much more likely to say “Yes!” to your biggest ask AFTER they’ve spent more money with you and you’ve consistently delivered.
This is the sweet spot where you want to introduce your “backend offer” — a high-ticket offer that people usually don’t see until they’re already an existing customer.
Good fourth offers can be similar to your third offer but at a higher price point… for instance…
- A $4,997 one-on-one VIP day with you
- A $7,500 done-for-you service… such as writing a sales page or designing a website FOR your customer
- Or a $9,997 exclusive mastermind for a small group of people
Your fourth offer is usually in the $4,995 to $20,000 range and this is where you start to bring in the bucks… WOOHOO!
Then, once you’ve got your first four offers really dialed in… let’s talk about your fifth offer — what I like to call renewing your vows…
This isn’t for everyone… just like renewing your vows isn’t a high priority for most couples!
I usually recommend holding off on creating your fifth offer until you’ve been in business for at least 3-5 years OR you’ve reached $250,000 or more in annual income.
So if you’re there already and you want to create an offer that solidifies and re-affirms your “marriage” with your customers…
Your fifth offer should be an ultra-premium offer designed for a small percentage of your most successful customers — priced in the $19,995 to $100,000 range.
Some examples of good fifth offers are…
- A $20,000 yearlong mastermind or group coaching program
- A $30,000 yearlong private coaching program
- Or a $50,000 premium done-for-you service — for example, ghostwriting a book, a complete brand overhaul or a marketing funnel design
For example, our year-long business accelerator — Momentum — is our fifth and final offer for a reason… it’s targeted at our most committed students… students who want to invest in their success at the highest levels and get intimate access to me and the Live Your Message Dream Team…
So, before you dive in… understand that your fifth offer will be more in-depth and require much more from you or your team… so make sure you’re ready and up to the challenge!
When you have your full ascension model in place — with 3-5 products, programs and courses — you can take your business across the 7 or even 8-figure mark!
But this takes time… so I recommend starting with a single offer — or adding a new offer to your existing product suite.
Want one more secret for charging more right away?
It comes down to human psychology.
Certain price thresholds are psychologically harder for people to say “Yes” to even though they’re only a few dollars more than others.
To most consumers, $100 feels like A LOT more than $95, $97 or $99 dollars.
It’s a small difference, but price testing has proven time and time again that people are more likely to say “Yes” to $97 versus $100…
So consider pricing your offers right below that $100 threshold.
You won’t miss the $5, $3 or $1 you would have gotten by rounding up…
The next big price threshold after $100 is $200. Then $300. Then $500. Then $700. Then $1,000. Then $1,500. Then $2,000. Then $3,000. Then $5,000. Then $7,500. Then $10,000. Then $12,000. Then $15,000… followed by $20,000… and onwards and upwards.
Here’s where it gets really interesting…
Some of the in-between prices — such as $397, $897 and $4,000 — don’t make that much difference to your audience.
If the value is there and they’re willing to invest $397, they’d also probably be willing to invest $497.
If they’re willing to invest $897, they’d also probably be willing to invest $997 too.
And if they’re willing to invest $4,000, they’d also probably be willing to invest $5,000
A lot of times people choose one of the in-between price points because they’re scared to go higher.
For example, they choose $397 because they’re scared to ask for $497. But the truth is that the difference between $397 and $497 won’t impact your sales much — if at all — as long as the value is there and you’ve sold them on this value!
Remember, it’s not about your worth; it’s about the value you bring.
And that, my friends, is limitless.
So, the faster you can take your sense of self-worth out of the equation, the faster you’ll be able to charge premium prices.
Drop me a comment with your biggest takeaway!
Before you go…
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