In this blog, seasoned freelancer and Passionate PA Debbie Frith (pictured) explores why business owners looking for freelance business support need to focus on more than just hourly rate… price is what you pay, value is what you get.
Whether you sell a product or a service, have you ever been in a situation where you’ve been asked to lower your price? Have you ever been told that you’re too expensive? Or been asked for a discount, to do a deal or to give more for less?
I expect that somewhere along the line you have, and I’ll wager that you were pretty cross about it. I imagine that you were told that your product or service was available elsewhere cheaper too.
When price is a driver, value becomes unimportant
Price is simply defined as the amount of money expected, required or given in payment for something.
Whereas value is the regard that something is held to deserve; the importance, worth or usefulness of something.
Focusing on price is a short-term consideration, delivering short term wins. When you’re looking for a longer term and more stable strategy, then focusing on value is the way forward.
In the words of Warren Buffet, “Price is what you pay, value is what you get”.
When something is offered at a cheaper price to your own product or service, there’s usually a reason why it costs less, reasons such as:
- Lower quality and standards
- New to the market
- Lack of skills or experience
- Mass produced
- Lacks longevity
- Desperation for customers
Those seeking value in their purchase are more likely to be looking for:
- Unique strengths
- A personal connection
- An excellent overall buying experience
- Values aligned with their own
- Quality and consistency
- Trust in a brand or concept
When being cheaper is more expensive
We’ve all done it though, haven’t we. Bought that cheaper version of a product or service whether it be a buying clothes from Primark or using a casual tradesman that’ll fix that leaky pipe for just £10 cash.
What happens?
The clothes don’t last very long, they’re cheap and cheerful yes, but they’re not likely to be your wardrobe staples that you can rely upon, wear after wear, wash after wash. That leaky pipe, may well be fixed for now, but when it springs a major leak, just before you’re about to go away for the weekend, where’s your £10 tradesman now? Disappeared I expect and what will you have to do? Call out a certified professional, Friday evening at what might seem an extortionate rate – oh how you wished you’d called them out in the first place and got the job done right first time.
So why am I talking about leaky pipes and Primark in the realms of freelance business support?
Let me tell you… If your business is as important to you as mine is to me, then you want to do your absolute best for it. If you’re in the market for some freelance business support to help you progress and develop your business, then you need to find someone who perfectly aligns with your own values and who is a good match for your own personality.
Buying this type of service on price is not advisable, it’s much more important to find and identify the right person with the right skill set (here’s a handy blog that will help you do this).
Invest in that person and you are by default investing in your own business (#winning)
That person charges a price which isn’t plucked out of thin air. It’s a price which is derived from experience and skills (though it’s up to you to do your homework on this), it’s a price derived from that person knowing their value and being prepared to stand by it. Treat others as you would like to be treated yourself – isn’t that a great mantra for life and business!
If you’d like to find your perfect match with a Passionate PA, then the best person to talk to right at the start of your journey is Kate Chastey, our Franchisor, she knows each member of our team very well and is a skilled match maker! After a discovery call with Kate, she’ll put you in touch with the person most aligned with your requirements, always based on experience, skill set and personality – in that way delivering the best value for you.
You can find out more about our team of business support professionals by clicking here!
Further blogs from The Passionate PA:
