Testing vs Pondering
"How do I price Advisory?"
Boy, wouldn't it be nice to have one simple answer to this question.
Here is why one single price, and therefore one simple answer, will never exist –
It depends on:
what is and is not included in your Advisory service levels
how much value those services create in the eyes of your client
how confident you are in actually being able to create that value
the niche you are in, and the kind of people in it
how much your niche lends itself to tax advantages (real estate is different than physicians is different than farming)
how good at tax you are, and how much value you can squeeze from the tax sponge
your typical business owners' revenue ($250K vs. $2.5M)
whether or not (or how much) you want to segment your prices
how much mojo you can muster in the moment
how badly you want or need a client
how many leads you have waiting in the wings
and more
....
One can appreciate why the above list of variables creates the feeling of taking a stab in the dark.
Plus, it's risky: "If I price too high, I risk my client being upset or offended. If I price too low, I risk losing my shirt."
...
So then, what to do?
Assuming the desired end result is shifting most client services to Advisory, then consider this question instead:
"How should I price Advisory today, so that I can get started, implement, practice, and build, without losing my shirt?"
....
Keep in mind:
Price your services on the low end to make the offer appealing and increase the chance of a yes.
Let the client know this is pilot pricing and it's good through the end of the year, at which point you are both free to reevaluate.
Be willing to take a mitigated risk – without taking a risk, you have absolutely zero chance of hearing "yes".
You can (and will) update prices as you go along – today's price is not your forever price.
Most importantly:
Use the above, because you will find your answer faster with testing, than you ever will with pondering.