Marie Forleo introduction

Hi!

I'm Marie

You have gifts to share with the world and my job is to help you get them out there.

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Do you go back and forth in your head wondering, “How much do I charge for this?”

If you’ve ever struggled to put a price on your products or services, you’re not alone.

The “how much should I charge” question is one of the biggest, most common questions I get asked, by new business owners and seasoned pros alike.

As you know, it’s really important to price your products and services right, for obvious reasons like sales, cash flow and profit margins.

But it’s even more important for nuanced reasons like brand positioning and helping customers understand and appreciate the value of their purchase.

Today, I’m going to walk you through a pricing strategy I call the “mattress method”- a simple, yet unusual way to get a fresh perspective on the value you provide to your customers.

As a reminder, I’m answering a question from a real business owner on pricing and her question deals specifically with how to charge for her expertise.

This is a very complex topic that’s impossible to cover comprehensively in a wee little video.

But these pricing strategies are solid as a rock (you’ll see why) and are enough to get you strategically and intelligently answering the “how much do I charge?” question for your business.

Remember, the best information in the world is worthless unless it’s implemented so let’s get you right into action now.

How can you use the “mattress method” to quantify the results you get in your business? Even if you have a product or service that doesn’t quite work with this method, how does this inspire you to think differently about your business?

Leave a comment below and let me see what business ideas for women you’ve got.

Of course, if you have insights or stories to share about knowing what to charge, I’d love to hear them too!

Thank you, as always, for reading and watching. Now get crackin’ in the comments!

With loads of love,

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186 comments

  1. Oooh how I love pricing! Yes, yes, yes! Know your worth, communicate the value, and be sure what you want your business to look like.

    The mattress method is a great way of putting it. I use it a lot with my clients to overcome that “I can’t afford you” conversation – very quickly they realise that investing in their business makes them more money and get clear on where they want their business to go …

    Boutique biz all the way here … best part? It’s always time to raise those prices 🙂

    Awesome as always Marie!

    PS – you inspired me to get away from the cold so I’m in Dubai this week (vs. France)!

    • Dubai?

      You lucky gal, you!

      Boutique business in the house as well. I’m completely interested in developing a price structure that works for me. I’m okay commanding a higher priced client now because of what I’ve gone through dealing with clients in the past few months. I am A-OK with that.

      Working on sales and landing pages for that now

  2. Hi Marie and the rest of the Forleo Gang

    My big AHA moment from this video was your comment about looking at where the product fits in the big picture.

    I work with people wanting to create online courses and everyone comes wanting help creating their own membership site. Well you know that they take soo much time and money and most people get scared away by what I charge for that premium service.

    So for the past few weeks I have been looking at an entry level product for people wanting to create their very first course and that is an email course. Email courses are super simple and highly effective. THey are also low cost, low risk and you can make money from them so that one day you create your own membership course.

    Hmm I think I just wrote my own ‘matress method’

    How did I go?

    Ainslie

    • Product creation is a big investment Ainslie.

      I’m halfway through Ash Ambirge’s Products + Cash which discusses how to look at creating a product as part of the larger picture for your business. Email courses can be short and to the point but I am so used to seeing autoresponders with repetitive info that I’m automatically turned off by them. LOL.

      I like Ash Ambirge’s “Behind Closed Doors” paid email list where she goes into detail about creating products and services to make real money on the back end of her business…

      • Hi Lauren

        I hear you when you say you get turned off by email courses. But there are some gem email courses, and when done well they really make you and your business stand out in the see of emails.

        The best email courses are created by people whose business is very practical. I have seen outstanding email courses from artists, photographers and makeup artists.

        They really can be a lot of fun. Great tip about Ash – I love her work.

        Ainslie

    • hey Anslie, great idea with the email course!!!
      never thought about that..
      here’s my boutique:
      http://j-ouellette.com

  3. Translating value is definitely a worthwhile subject and the pitch from the mattress salesman illustrated it perfectly. How can you quantify being the Captain of your own ship vs. being a deck hand? As long as I don’t confuse the “mattress method” with the “latte factor”, I should be okay. Ever see a Squirrel squander?

    • marie

      Hey Chas! Not sure what you mean by Captain vs. Deck Hand. Give us context and we can help.

      • Marie, please excuse my effusive literary license~ what I meant is that there is more value in showing someone the path to running their own enterprise, such as you do, than in training them to climb the corporate ladder;i.e., being the Captain vs. the deck hand. I must have spent too much time at the Mahogany Reef & should now go walk the Whiskey Plank. (here’s a fun dictionary, less you & your readers misconstrue my meaning; now, put on some Hip-Hop and have a conflation of words)~

        http://www.doubletongued.org/index.php/dictionary/newcats/C255/

        • Marie,
          Please remove the link I posted in the reply- it is a bad link- Please don’t click on it- the site has been disabled by it’s host.

  4. Marie! LOVED this post.

    I just went through the whole pricing issue last week, when I had this nudging feeling that I was underselling myself in my group 21-day detox programs, especially now that I have a whole new set of tools in my toolbox that I didn’t have a year ago when I first started running them.

    I was deeply afraid of putting on (as you call em) new money shoes. However, I took the leap. I realized that I am saving peeps from years of frustration, get-thin-quick diet schemes, and am giving them a jumpstart to a whole new way of living. Plus, I’d rather have fewer peeps who are 100% invested in bettering their lives than a shit load of people who are only mildly into it.

    Next time I am struggling on what to price my offerings at, I’ll def come back to the mattress method.

    Love me some Marie TV! xoxo

    • ” I’d rather have fewer peeps who are 100% invested in bettering their lives than a shit load of people who are only mildly into it.”

      That pretty much sums it up Anita. The analogy my hubby used to use while making high-end custom furniture is that you cant compete with Ikea, so why try? There’s always a lot of activity towards the race to the bottom, and you definitely don’t want to be hangin’ with that crowd.

      • Agree with you completely Page. Find your niche and work it well. Those “fewer peeps” are more likely to return to you if you are continually delivering quality product/service. You are building your tribe, as Seth Godin would say. 🙂

      • Page! HA! I love that IKEA analogy…so true! And what I have found in my line of work is that when I had my offerings priced super low, the women that were coming to me were trying to lose 10 pounds in a week, which is not my message at all. By me honoring my worth, I give my ideal clients the container to do the same for themselves. 🙂

      • Love this Page! You’re right, there is a lot of activity towards the bottom of the race. Fewer peeps who are 100% invested is a far better option for me as well.

    • Kim

      I loved the video too. The mattress example makes so much sense.

      I have a similar situation as Marie. My initial pricing for a 6 week class was low, and several people have told me so. I have two sessions under my belt and the feedback has been excellent. I plan to raise the price, but hesitate to double it, which I think it is worth. Should I go for it or raise prices gradually.

      • Kim

        Meant to say similar to Anita.

        • I recall when Danielle LaPorte was doing one-on-one consultations she doubled her prices and then doubled them again not long after. Now she no longer even offers those consultations because she’s on to bigger and better things. Trust your gut. If people are not banging down your door, I’d raise the rate gradually. If you have more business than you know what to do with, doubling it will likely not have a detrimental impact. What is your gut telling you to do?

          • Kim

            Thanks, Christina. This was really helpful. My gut says gradual. I’ll wait till they’re knocking down my door before I double my prices. 🙂

  5. Awesome video Marie! Positioning as you said is very important. I personally prefer to have fewer clients (the right clients) at a higher price.

    The mattress method got me thinking. We sell a physical product and the method got me thinking about how to focus on the results specially on an emotional level…

    As always, these were some awesome tips!

    • marie

      Nice Hengam 🙂

  6. Aha! Thank You Marie!! Right on time as usual. It really should be against the law for you to provide this much value for free every single week.

    • Laura Spradley

      I concur…now can we imagine what it would be like if it were THE LAW for everyone to have to provide this much value for free? What a wonderful, sassy, fun world it would be!
      Laura

    • marie

      thank you Summer!! xo

  7. Always great stuff Marie! It’s always ESSENTIAL to help people understand what they are truly paying for. The mattress analogy is priceless… loving it GIRL!!!

  8. Ooooooh, such a great video! I’m really going to think about this. Right off the bat with my program I know I’m saving people years of frustration, confusion and unhappiness with their lives, relationship and career. I know this because I spent years in this state and it cost me a LOT. I gained weight, hopped jobs, stayed in relationships that weren’t right for me, struggled financially and just wasted a LOT of time feeling depressed and stressed out. I loooooove working with people because I know I can help them blast right past all that nonsense and start living a life that brings them JOY. xo

    • marie

      Awesome Stephenie – what you wrote here has so much clarity. Use it girl!

  9. Well didn’t this hit it on the head for me today.
    I’ve been procrastinating around a new product pricing for the past two weeks. Getting more and more pissed off with myself in the process.

    You gave me one of those hand meet face moments. Doh!

    Don’t know why I spent so much time second guessing myself, now off to write a sales page. Thanks Marie *raising my glass to ya*

    • marie

      Awesome Jackie! So glad to hear you’ve broken through.

  10. Cool. I got my mattress at Sleepy’s too.

    This was such a great video. Alot of times people focus on “process” instead of benefits.

    I struggled with naming my hands on video training course. I ended up with 1 Day Video School because it’s both a “process” and “benefit”. Instead of taking days/months to learn it’s quicker than that.

    Real life benefits always work. Really makes you think like your customer. Or at least try too, until your testimonials reveal what your customers are really thinking.

    P.S. You are giving GREAT hair today!

    • marie

      Awesome name for your training and thank you on the hair 🙂

  11. Marie, I love all videos you´ve put on-line, but this one today is just THE VIDEO! Thank You so much! Pricing is a hot topic and your aproach is just fantastic. The “mattress method” ? Brilliant! Just what I was looking for!

    • marie

      Thank you Dayse! So glad it’s workin’ for ya.

  12. My program helps people make more money by selling more of their products and services using Facebook Ads – definitely fits with the mattress method.
    Thanks Marie!

    • marie

      You betcha Vic!

  13. Good Morning! This was terrific and I am passing it on to twitter and Facebook. Although…I am mulling over my own mattress on my site…I don’t charge anything! hahah!

    • marie

      Thank you for sharing this Monica! I really appreciate it xox

  14. Thank You! This is awesome as I actually do relationship healing… unique and energetic individual sessions, so THANKS for the tips. I had no idea I’m saving people that much money with just 3 of my sessions!

    • marie

      Awesome Jennifer!

  15. Thanks again for continued great content! I have just launched my first entry level product. It is packed with value, and priced for volume to grow my reach. I also priced it with a fast action discount to help my prospects to just go for it! In 1 week, I can save them years of confusion and over $30,000 in research… for just $67.

    Would love to hear any feedback on the offer…
    http://jessicadrummond.com/spring-clean/

    I have been really studying the issue of positioning my offerings in a group, and looking at positioning myself in the marketplace in general. So, important to the overall impact of a business.

    Thanks!

  16. Just what I needed to hear right this moment. Thank you for your WOWsquared (WOW Words Of Wisdom) every week! You are amazing!

  17. Oooh Marie, this is an amazing video! Pricing is a huge, crazy topic. Before I became an entrepreneur I didn’t really see the value in things I bought or was tempted to buy. For example, books. If I saw a book for £10 I’d think ‘that’s pricey!’ But what I failed to understand was how much energy, time, effort, blood, sweat etc that the author put into their book defined their pricing. A huge mistake entrepreneurs make is that they spend so much time thinking of what people will say about their pricing that they totally ignore their margins. Pricing is a complex issue but I think it’s crucial that we weigh up a variety of factors like margins, benefits, features etc before setting a price on our products or services.

  18. Thanks Marie for this really timely video! I just up-leveled my prices since I’ve gone full-time with my business. You definitely have to take into account where you want to go with pricing your products and services. One should lead to the other, as I understand it.

    Loved the A&S shout-out, too! (And let that nice girl keep her shirt on!! heh)

  19. stephen q shannon

    You go girl. You are irrepressible…that’s a good thing!
    You sell marketing videos too I trust? Yours are THE best
    east or west, and I have been knocking around on and at the Web
    for more than 23 years with many early years in the media.

    Comment: How you charge is an issue I explored
    and finally grappled with three years ago.
    1) Introduce me by collaborating on a no-charge project
    with the prospect.
    2) Project done, let the prospect walk away if they wish, some do,
    most don’t.
    3) Charge month-to-month cancel-anytime direct deposit monthly fee. I call it a subscription to my cranium with the promise they will never get a newsletter, just periodic “finds” I think they will love.
    4) In three years only two cancellations. One was my fault, I did not explain the program properly and the other went into business selling insurance. Bye bye.

    My discipline? Career Training NOT career coaching and NOT job placement. How to transition to a new job or how to make more money while staying employed.

  20. Hi Marie:

    Great video for such an important piece! I’m sure this will help so many solve the pricing quagmire they often find themselves in.

    Was great seeing you in the Whole Foods (Venice) parking lot….keepin it rockin, even in the rain…

    Best,
    Jodi

  21. Why is it that people have no problem dropping $30k for a new car but a few hundred for some valuable health advice seems like a lot? Is the price for great health measurable?

    • Cindy Chin

      Great analogy!

  22. Marie!

    You are amazing! Thank you so much for this. I look forward to every Tuesday! You make me laugh every damn time!

    Cheers,
    Laurie

  23. Hey Girrrrl!
    Thank you for this. As a Nia fitness artist I provide a holistic practice to heal and strengthen body, mind, emotions and spirit. When you brought in the ‘mattress method’ example, I totally “got it”. There really isn’t anything out there in the fitness class industry that offers what Nia does – at least I haven’t been able to find it!
    Thank you!
    XOXOXO

    PS: I have a TempurPedic too…Joy-joy-joy!!!

  24. Pricing is such a crucial point and you put it into great perspective!

    I think we often under estimate the value we offer for two simple reasons:
    1. What we do seems easy to us and we do not consider the many years it has taken to be able to offer what we offer.
    2. Many of us offer something unique and we do not have a reference point for where to start looking for comparable products and services.

    The Mattress Method really helps with that – thanks Marie!

    I have just finished pricing my flag ship offer and is taking it on a beta ride at a lower price of to get my bearings. I still not entirely sure how to set the actual price as I will be sending my clients of with real business ideas and solid ideas for products and services.

    Thoughts on this would be appreciated:)

    • Wow; I haven’t even watched the video yet but this really speaks to me:

      1. What we do seems easy to us and we do not consider the many years it has taken to be able to offer what we offer.
      2. Many of us offer something unique and we do not have a reference point for where to start looking for comparable products and services.

      In my situation:
      2. I own the ONLY relocation company in the world for online professional poker players.
      1. It has taken me 10 years of international travel, a college degree in International Business, an MBA, two study-abroad missions and 7 years of experience in real estate and consulting offshore to be able to offer this service. How to put a price on this!?

      I have had the nagging feeling I’ve been undercharging the whole time (yikes/ugh).

      What I’m reading on these comments seems pretty consistent; we all must seem to value quality over quantity, at least in small business and consulting relationships. Maybe if we were selling widgets it would be the other way around, but Marie seems to attract a different crowd (cooler, more spiritual crowd, duh).

      Interesting conversation everyone!

      • Hey Kristin!

        How’s the business working out? Talk about a niche… I’m in a similar industry – auto transport broker and I’m still searching for my ah ha moment. Seems you found yours in poker.

        Xo,
        Ashley

        • Hi Ashley,

          Things are going really well; we just had our 2-year anniversary last week.

          The aha moment is a work in progress because as humans we keep growing and changing. I’m still thinking a lot about what I will do next!

          Kristin

  25. Take it to the mattresses! (remember that in When Harry Met Sally?)

    Here’s mine. What would make it more compelling? Comments here or to my email are appreciated and I’m happy to reciprocate with your biz! – Elissa

    My company is Truly Accomplished and I believe that being proud of what you do is the ultimate accomplishment.

    I help clients get CONTROL with two services to succeed at exactly what’s important to them now.
    #1 get your answer with a strategic plan that can run companies but fits on a fancy cocktail napkin, and #2 get results using our Personal Success Meter.

    In 30 days, client performance measures increase on average 150%, according to award-winning research conducted on our methods.

    150% better outcomes for your business, your job search, your diet, your exercise routine, your family, your happiness. Most importantly, you’re doing the right things and having the kind of success that FEELS like success.

    When you’re at a “What Now?” crossroads, you can’t afford an indefinite amount of time, money and worry not knowing if you’re doing the right thing. This is as true for a job search as it is for a cancer diagnosis. Here’s your fast pass. Let’s get Truly Accomplished together.

    Pricing:
    Private clients pay $2,500 for both services together or $499 for the plan alone
    I’m beta testing a self-directed online version for $99

  26. I sleep on a TempurPedic, too, and I’d pay $6k for it, now that I know how dreamy it is 🙂

    Perfect timing! I, too, am in the midst of (avoiding) updating my fees.

    My fee structure is TOO LOW. And I HATE talking about money, fees, etc with clients. And my clients LOVE me and they love my work! Half of them pay me a bonus! And yet, when I use my client’s products, they dont’ think twice about charging me, nor do I think twice about paying them. This is not just a pricing issue for me, but a heart issue…

    Marie, I’ve been following your lead regarding giving away good info for free. People LOVE it! And, while at first I feared that I was going to bankrupt my business and creativity by doing this, just the opposite is true! Every time I’ve talked to a potential client or bid on a project and given away really great ideas and info, they hire me – and they do so with great enthusiasm! They think I’m THE BOMB for just handing them good ideas. And, even better, it seems that ideas (like love) are magic pennies – the more ideas I give the more ideas I have.

    THANK YOU!

  27. Another great video training – loved how you reminded us to begin with looking at how all the pieces of our business fit together and how we are positioning our business as a whole. This is a great example of working within our mission statement and only doing those things (including pricing) that support our mission.

  28. Love it! But wondering if you can give some advice on this. I have so much to share and want to start teaching, but don’t quite know where to start. Do I have to pick one topic and stay there? I’m struggling with same issue on my blog. I want to write about nutrition & health, parenting, self help & motivation, peace and how to be more green. I don’t want to put myself in just one of these boxes, but I have to be able to start earning money too. Any advice?

    • I don’t think you need to limit yourself, you just have to make it more clear to your clients what they can expect from you. Maybe you could put everything into sections both on the blog and with regards to services.

      For example create different coaching programs for all the different issues that you are interested in. I took a peak and you have lot to offer! Pair up the techniques with the issues and you have excellent packages to offer:)

  29. I love the Walmart vs. Bergdorf Goodman example. I think too many of us try to be both and create nothing but confusion with our pricing and programs.

    Thanks for putting it all in perspective Marie…this is a GREAT Q&A!

  30. Great topic! The pricing questions comes up for me a lot with clients and I think a big hang up is getting them to see what THEY are worth! Much of the time, I see a lack of confidence in the knowledge they know and how valuable it is!

    Practical steps are great to figure out pricing, but it starts with mental aptitude of the person doing the pricing!

  31. Hi Marie,
    I woke up to two emails about raising prices, yours and another, and in the past week that has been a hot topic for me. Job well done reading my mind! 🙂 I offer super valuable, life changing health care called BodyTalk. Its effectiveness comes from a system that has similarities to how you work with your fans- you provide the new info, different perspective and support and the client takes action on it themselves. In bodytalk I am facilitating my client’s body to strengthen it healing mechanism and heal itself. Its incredibly cool and the results are amazing. Which is one of the reasons why your video is so timely.
    I am going through a website re-design and as soon as that is done my prices are going up!
    Thanks for this vid and all of them!
    Xo
    Emily

  32. fantastic ! clear as a bell! i just put together a program and two work shops and after watching this short video, i know what to charge and am putting a few of the points that make the client recognize the value of my service(i.e the mattress method!) into my explanation of service ! diggggg it!

  33. Thanks Marie Great Stuff as always! I just love your style keep it coming!

  34. Hi Marie,

    Thank you for the reminder! Each time I complain about the slow progress of my work I hear the same message: you charge too little.
    Why am I so dense? I will start charging in terms of time, money, and love right now!

  35. Oooh! I hadn’t thought about how each item fits into the whole! It seems stupidly obvious now, but thanks! I’ll be gettin’ on that!

    <3
    Erin-Ashley

  36. Hi Marie,
    Great video gurl!! You are solid as a rock.
    I emailed you a while back about my TRX classes I do. I was doing a promo to start this venture, which is group classes compared to my one on one training I do. The promo was a groupon type company called dealiscouis and it only sold 17 vouchers compared to the 650 hair promo’s it sold for a friend of mine that owns a salon.
    My question to you that day was can I over promo?
    Your staff got back to me with some helpful advise and I wanted to thank you for that. They did not say that you can over promo.
    I did however stop doing promo’s thanks to my sister-in-law who does my class and see’s the value. She said in a very french accent “you must stop being a cheap slut, at least if you get f&^%ed be expensive”.
    This is what I did. You also made a comment in one of your videos about a sales clerk marking the silver for 50% more instead of 50% off and it sold right away.
    So now I do charge full price and do specials once in a while. I still have some friends that I give a deal to but that’s it.
    My classes however are far from full…. WHY????
    1. I’m in a very remote hard to find area of the city but its a converted air plane hanger which what makes it so cool
    2. I know on my website I dont have a way of getting peoples emails or creating a data base but I do have a data base I’ve created from inquiries, existing clients and past clients. I use facebook and twitter to post my video’s and promos.
    However I need to reach the masses (with no marketing budget), how do I do this?
    I started sending out weekly challenges and video’s but they are getting viewed less and less each week??? What am I doing wrong?

    Love your video’s. You keep me inspired \[* ~ *]/

  37. Another fine video from the Creative Gangster of Love! The “sweetspot” of our pricing becomes deliciously rich as we rise from the bargain basement babe mentality and stop discounting ourselves, marked down by our own inability to appreciate our value! It is time to rise! Thanks for living in the richness of your being! Loving your content!

  38. This came at the perfect time Marie…. Thank you !

    Im just about to re-launch a program called “Awakening Your Child’s Confidence”.

    Its a at home study guide for parents, introducing meditation and mindfulness into their children’s daily lives… with a shit load of extras for parents, talking about self care, and over all awesomeness.

    Its mattress time 🙂 Hell ya, I got the goods every parent wants.

  39. Marie – you’re exude fun and sassy smarts! Thanks for all the work you put into these weekly vids, they are a highlight of my week.

    So I’m new to the wedding photography business and I think I can quantify the reasons why it’s worth the investment in the quality photos, PLUS the retail items afterwords like the high-quality canvases to display their gorgeous photos. But since I’m new I’m kind of scared that all the reasons for choosing me, like a fun and personal attitude from your photographer ALL-DAY and emotion filled photos that will retell your big day over and over, scared that I will make mistakes and fall on my face and get stressed out during the day. I suppose I need to get over those fears and just do it. You think?

  40. Kam-B

    Thank-you Marie, I really needed to hear this today. Keep up with the awesome, rockin advise!

  41. Marie, thanks for sharing the Mattress Method. The visual image of the mattress and salesperson really helped me learn and remember the concept. Time, money, love and health remind me that when it comes down to it, these are the things people really want most of all. Thanks Marie for another great video!

  42. I recently released my first product as a pay-what-it’s worth to you digital guide. The big picture was that it was a gateway product that I wanted to get it in as many hands as possible. Not only have I sold to a lot of people who have never interacted with me before, but the little bugger sold almost $3,000 in its first month. It’s all about the big picture!

    • Laura

      I have always wondered about the success of pay-what-it’s worth. Great to hear that it worked so well for you.

      Ainslie

  43. Top vid Marie, thanks very much. You give us really helpful guidance plus the confidence to charge a decent rate, much appreciated. Keep up the great work!

  44. Kat

    Timeliness is your forte. This is perfect timing for me. Great stuff.

  45. ISHAQUE

    Almight Heartiest Leader Jeo Marrie Jee,

    As well as I am very not very Toooooooooooo much happy that you are going to direct me in reverse back to day to day LIFE & BUISSNESS which were both very far from me MAY YOU ALLAH PAK BLESS YOU WITH SUCCESSES in every time and paths of life, Any how please be aware that only remember me for any type of order/suggession please. It is hubly requested that remove the letters on Ist page IF YOU WANT TO STOP E.MAILS…….NO,NEVER,NOT any time any where I am for you in Punjab.

  46. Love this. What a smart guy in the mattress shop was he!
    I think when you are selling something you do or make such as programmes or coaching sessions etc it’s tricky to go as high as you
    might early on cause it’s all a self esteem issue.

    Once you get results and people you work with have some results it definitely gets easier so I just keep tweaking packages and pricing until I hit the sweet spot.

    It’s about having the chutzpah and self belief to you know you’re worth it and of course following up with the goods. 😉

    • I totally agree with you Rachel! The value you price your goods and services does have a direct link to one’s self esteem. As it grows as does one’s pricing.

      Good pointers by Marie though…as always! You rock girlfriend!!
      Lavinia

      p.s. When you coming over to good ole blighty?

  47. Hey Marie
    I need to say that every time I watch one of your videos I’m truly inspired to not stop doing what I am doing. I’ve been in business for two years but my startup company is finally getting off the ground and every time that I feel super stressed out about a certain issue, it seems as if your Q & A Tuesdays answer the exact question on my mind for that week. It never fails! So a big thank you my dear I am a huge fan. 🙂

  48. Wonderful and easy analogy with the mattress method! I think it definitely is important to explain the value of your services or products so that people have that AH HA moment. I know that it has taken some time for me to do this in my business. I have been dreaming up E-products (courses/ books) for a while and I think the time is getting closer to creating them! I had no idea what to charge but the mattress method will come in handy!!

    Thanks Marie!

  49. Loved this week’s video, Marie! I totally agree with your methods, and to add to what you were saying, I also find it very helpful to research what others in your industry are charging. For me, this can be tricky since my business is very unique. I am a holistic anxiety coach/motivational speaker/self-help writer for young women with anxiety. However, I find that when I look at what other life coaches and people in similar careers are charging, it helps me to figure out my pricing. Can’t wait to see what you’ve got cookin’ for us next week!

  50. Great timing Marie (the universe is ever so friendly in such things!). I have a fabulous model for service pricing (free if anyone wants it, just email me as I don’t follow every thread!) but I’m about to release my first digital products and had this very question. Sorry to not yet do my homework. Appointments call. But safe travels back to your home turf, and thanks again for all your great content!

  51. What the mattress method did not talk about is that you, e.g., may pay for the save your marriage program, it may help a little, but people may end up in divorce anyway.

    In this case the distressed couple has paid both for the program and the $20,000 to get a divorce.

    So yes, I do agree that one has to think of ways to quantify the value they are providing (and the mattress method is a good way to start with), but it’s also true that with every training there is an inherent risk. It’s not 100% sure that people will save their marriage/lose weight/earn more money.

    I guess that gets us to the topic of offering guarantees. This is another component of the pricing strategy. As Marie said….pricing is a big topic!

    • This has always been my issue with sales. A coach will say, how much is is worth to you to save your marriage/grow your business/rescue your health as if their program was the only and guaranteed alternative to some disaster you want to avoid. Just because I don’t want a divorce it doesn’t follow that by buying your program I won’t have one. or that by not investing in YOUR stuff I somehow don’t care about saving my marriage! I feel this way when others make this pitch, and it makes me second guess myself when I am making offers, because while working with me will get them closer to what they want it does not and cannot deliver the end end results all by itself. Marie, if you see this could you weigh in??

      • Caroline - Team Forleo

        Lisa, thank you so much for your comment and sharing your thoughts. Your concerns are absolutely valid and great points. In terms of constructing your own offers, there are a couple things you might want to think about.

        Firstly, it’s okay to share the intended results, but something like “save your marriage, guaranteed!” can definitely feel scammy. Not to mention even if it’s more eloquently worded than that, you’re right — not everyone may actually save their marriage through any program, no matter how awesome it is.

        While if someone has a “save your marriage” program, it’s of course okay to share expected results and testimonials, but that can be done in a positive light by sharing benefits instead of guilt-tripping people, which never feels good.

        Rather than saying “if you care about your marriage, you’ll buy this,” results, you could try sharing actual results like “9 out of 10 couples who take this program decided not to divorce” or something like that (provided any examples shared are true of course!).

        By focusing on positive things that you can address and the benefits people will see from your offering, marketing can feel less scammy or sleezy.

        Marie talks about digging into conveying the real value of your offerings in this great episode here, so definitely check that out for a few more tips: http://www.marieforleo.com/2013/05/sell-more/

        I hope that helps, and we have lots more episodes on marketing, so feel free to reach out to our team anytime if you’d like some more suggestions! Info AT marieforleo DOT com. 🙂

  52. Alright. Always translate what they buy into Love, Money, Time and Relationship. I don’t know how I’ll translate it yet in each case in my business but keeping that in mind will certainly help me to say the right things – just thinking about the smart guy in the mattress store is inspiring.

  53. Such great info- taking this on right now with day rates and bonus services. Always amazingly insightful, helpful and sweet to watch.

  54. Marie – I LOVE your videos. You are sharp, sassy, funny, wicked smart, and consistently right on the money. And oh so TIMELY! Love your wisdom – happily consuming it. Now sign me up for some B School! xo

  55. This was a great reminder for me to keep my prices high. Social Media coaching can sound somewhat easy, but I have to keep in mind the thousands of dollars I have invested in my knowledge that I am now passing down to my students.

  56. First of all you are so freakin’ adorable! Your energy is fantastic and your advice even better. Price is the never-ending discussion for a singer. Thanks so much for the fun AND informative videos. I shared it with several of my fab friends!
    have a great one! Karen

  57. The Bergdorf/Walmart example is excellent. So clear.

    I design die and laser-cut greeting cards and am trying to find more clients for whom I can customize my designs. I love getting orders of 500+ cards from a company, but for a few years now I’ve been customizing 50 or 100 cards for a few smaller clients and the time it takes me to run around and deliver these very small jobs is turning out to not a lot of work for not much money. This year I have to either charge more for these small quantities or stop offering them. True custom work can be so tricky to break down into a menu of price options since it’s so subjective and … well, customized.

  58. Thanks for the video. It’s interesting because we sell our wine glasses with hand painted brunettes, blondes and redheads for between $10 to $15 at our events and people tell us all the time they would pay more. We decided early on we would rather have “our girl glasses” out there making everyone happy. It is great to find a sweet spot where the masses can afford a beautiful and fun product and we can still turn a profit. Other designers sell for $25 per glass, but it’s just not our vision. From the get go we wanted to deliver fun and style within a budget.

  59. Thank you Marie, Great Video!

  60. Hi Marie, thanks so much for another great vid! Pricing is often my biggest struggle – I’m based in a small city with very price-conscious businesses, so for local consulting work I find it difficult to know how to charge what they are willing to pay without pricing myself too low. Plus I find talking about money really awkward! But I can definitely see how this method of quantifying the results will make the whole conversation a lot easier – looking forward to putting it into action. Emma x

  61. I love how the universe provides. Your videos always seem to answer the exact question I am asking at the moment. And the answers came from the public, as I have just finished a 10 day 12 hour x day International Art Festival. Literally thousands of potential clients gave ME the quantifying reasons for my product.I make hand painted canvas rugs and I am the only person in the entire country(Costa Rica) doing this. People who couldn’t have rugs because of allergies, or because of dogs, or because they lived on farms and regular rugs were too hard to take care of gave me their reasons for buying this product. Now I am going to convert this to dollars, allergies = doctors,medication/ dogs=well they just destroy everything/ farms=it takes the same time to clean this rug as it does your floor,
    and as the orders are just now flowing in, I can feel better about the prices I have decided on, ( because that insecurity was niggling at me) and charge away because my product has incredible value! the clients told me so!

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  63. What perfect timing for this video! I am working on my first REAL product and although I think it will be the mid line that others will work around, I loved how you laid it out on how to price it! Can’t believe I haven’t been here, but I am subscribing because you rock and I love the content and video!!

  64. Thank you so muchly, Marie, for yet another terrific topic and video! The “Big Picture Positioning” was super helpful. Now I’m puzzling about how to use the “mattress method” with pricing for my new biz. Hmmm, any suggestions about how I quantify results for someone contemplating buying my tea towel, art print, or calligraphy services?

  65. It’s so crazy — this morning I was *just* telling my partner, “In light of recent events, I think we need to take another look at our rates. We’re not charging enough!” Then I logged on to my email and saw your newest blog post. Talk about the universe saying, “Yeah, DUH!” 🙂 Thanks for giving me some guidance on the best way to implement this.

  66. This was a great video and touches on something that I have been struggling with.

    I have recently created a custom shoe business where I transform heels and sneakers into wearable pieces of art, ie. I don’t design the physical shoe itself, I ‘snazzy’ them up. The task of pricing them however, is causing me stress.

    While the “mattress method” works GREAT for goods or services that others benefit from in someway, I am having difficulty figuring out how to apply it here. Since the product that I am offering is more of a luxury or excess product, how do I use your method to make it applicable to my business? … It’s not like I can tell them they are saving a ton of money not buying Louboutin’s, can I?

    Thanks!!

  67. Kylie

    Thank you so much Marie! I’m off to my business page to put this plan into action now!!! 🙂

  68. Hi Marie,

    This post was amazing timing. (I love it when awesome people & advice synch up with exactly what I need.) I launched the first essay of my Guides for the Recovering Perfectionist today and I woke up in the nervous predawn, saw your post, and watched it on my phone in bed before hopping up to finalize price and press the big, scary send.

    You really helped me consider the value of my information and that’s going to put me in an amazing space as I move forward with the guides and my personal mission to help folks banish the Brain Hamsters.

    Thanks so much for all your work on our behalf! We love you for it. And I’m so glad LA has treated you well. LA and the dance classes. (The dance classes are AMAZING here. I’m still hoping to end up in class with JT. COME ON, UNIVERSE. LET’S DO THIS THING.)

  69. Inspiration STRIKES!

    Fantastic advice, it kinda worked the other way round for me – I started thinking about what I offer people emotionally and came up with a whole new product idea! 😀

    I’ll drop your 10% in the post 😉

  70. Danika

    Awesome advice Marie! I got so much out of this video. You rock! xx

  71. This is so timely. I am a Life Coach and have been Coaching for last 4 years with amazing results butI am not a certified Coach. It has been a huge excuse not to charge what I know I am worth thinking I did not pay thousands of $ for my certification. I had to remind my self that I have spent last 8 years studying, going to seminars and lectures, spending money on Coaching I knew I needed along the way…. I have invested so much time , energy and money in those 8 years and now I offer “shortcuts” to my clients so they can manifest the things they want fast and without struggle. I have recently changed my pricing a bit, but I know that there is room for “an improvement”.
    I recently did d workshop too http://erikadolnackova.com/goddess-coaching/workshops-and-seminars/ and the people attending were saying to me : I would have payed much more fot this, it was so good and over-delivered. So lesson learned!

    This video was what I needed to hear. Thank you Marie! As always you hit the nail on the head. 🙂

    Have an amazing time everyone.

  72. The mattress method only works if you can afford the more expensive mattress. I never fall for that ploy. The line I fall for is “do I want to replace this thing once or 5 times? Is the cost of the more expensive one less than the cost of a few of the cheaper ones?” THAT’s what gets a bigger sale out of me. Creating a quality of life through buying less less often.

    So, when I create my product, I make it high quality and durable.

    As for information products, I determine if the information is available for free and how much I trust that person. If the info is freely available, I don’t buy it – no matter how much I trust that person. Selling readily available info will actually make me trust them less.

    Insisting that someone’s quality of life will change because of the quality product is influencing perception. I believe wholeheartedly that perception isn’t influencable. Making the whole mattress sales pitch an attempt at manipulation. I don’t do manipulation.

    Besides, I skip copy like the plague. I find it a waste of time to read about something I don’t immediately want from the picture/title. The copy won’t make me want it more, it should only answer the questions I have after I want the item. I have always struggled with writing stories for my creations. I can write facts well – just not stories.

    • Fozzie

      Hi Lindsay,

      Your comment conveys a quite cynical view of the selling (sern mostly as an attempt of manipulation) and somehow twisted consumer habit. What do you do for a living?!

      What exactly do you produce / sell?! What are (usually) your producta?!

      As far as information products are concerned how on earth do you do that (determining if the information is availble freely)?! Do you extensively research on the web?!

      And how do you build trust with a person if you don’t buy into his/her opinions, beliefs, recommendations?!

      I must confess, for me your personslity is very intriguing – I never met a person who isn’t buying into stories and thus is avoiding copy on purpose, by fearing it is all deceivable and manipulating…

      Are you an artist?! Visual artist?! From what you say it implies you only believe in love at first sight and there’s no room for words, only pictures.., which puzzled me and made me wonder: do you read?! What about a book, is a book of any value to your system?! Or it should only be a comic book with little if no words in it?’

      Don’t get me wrong, I’m not criticising your way of thinking, is just that is so special it startled me. It seems you’re just so peculiar in your opinions that arouses my curiosity. I apologise if I sounded aggressive – no offense intended.

      Like to further know how you can be a factual reporter, but not a storyteller – when you sctually are as crisp and intriguing as Stephen King or Stirg Larsson.

      I think you’d make a great writer. Have you [re]read “The Catcher in the Rye” lately?!

  73. Even though I want to have an amazingly positive impact in our world, I have found that serving more people at a lesser price = more stress & overwhelm for me (w/ less days off). I can still be an amazing influence worldwide with fewer clients who pay me handsomely for it, and I am graciously accepting these ideal situations into my life easily and effortlessly. (great affirmation, right?) 🙂

    All about that value… love that you call it the mattress method Marie – it makes so much sense to express the value of what we’re offering and give our potential clients and customers this perspective.

  74. Excellent video! I totally loved the Ashford & Simpson “Solid As A Rock” breakdown in the middle!

    I really like the idea of the mattress method. I have a graduate school admissions consulting business. I’ve often asked myself what is the cost of NOT getting into graduate school, what if you fail to get in then have to try again? There’s application fees, standardized test taking/reporting fees, perhaps years’ lost in income, on top of the emotional fallout from investing so much in the process and not getting your return.

    I have been the applicant that tried and failed to get in. Twice! Before I actually succeeded. I can tell you that to quantify would be a whole heck of a lot of money! Being able to put a ballpark number on the services that I offer – I save time and money – not only gives me a framework for pricing but also helps me feel comfortable in the value I’m providing for my clients.

    Totally looking forward to the next video!

  75. Jen

    Ashford & Simpson! OMG you totally made my night. (I love you, and your mattress method too!)

  76. Um . . . mine was a 40K divorce . . .

    That aside, GREAT video Marie! Lots of good information . . . so useful. The mattress method is great. Your mattress cost less than $1 a day over 10 years. Not bad.

    Thanks so much!

  77. Tiu

    Dear Marie ,

    I think you mentioned the most honest way of pricing products. But i think we need to consider the market too. What about our competitors ? By competitors i don´t mean only people who sell the same products. It also means subsititutable goods. Another important thing is how much time or money you are investing in this?
    Thanks for being so funny, classy, beautiful and smart!!!! Love your presentation!!!

  78. Marie, I want to apply to B-School in May, but I have a concern: I don´t have a business YET. I truly want to build one. I have so many passions and there are about 4 / 5 services/products I have identified I can provide to potential clients. The problem is I am stuck and I don´t know which product/service should I begin a business with!

    So, my question: Can B-School help me with this particular issue? And if not, can you recommend some program that would?

    Thank You so much for all you´ve given us with your website, your videos, book etc.. I just love your style and if B-School can help me with this issue, I´m gonna be so excited to be a part of it as a student!

    xo

  79. I love how you made this simple and effective on pricing. Now, ideas are buzzing on in my head with pricing for my intuitive and acting services.
    You rock, Marie!! Love the Ashford and Simpson in the video too.

  80. Of course this video came just when I needed it. Just having some issues with my “product”… when I read the comments here, I feel like many of you are offering courses- for nutrition or to help with your business and can easily quantify your offerings. I teach Sensual Cooking Classes… I of course want to help people learn how to cook, however what I really want is for them to open themselves to their inner sensuous beings and the next time they share a meal together, that they really get into it and feel how GREAT eating together is. For some reason I am stuck on not knowing the value I give or how to explain the NEED for it. I truly do believe that every person should “Get their Sexy On” but am having trouble quantifying it… any ideas?
    Thanks!

  81. Hey Marie,

    How’re ya doin’?!

    Here’s my question: I am a content writer. I help people with putting up the words on their websites, which helps attract customers, which helps the bottom lines. There’s a direct correlation here, obviously. The content I provide is:

    a) factually correct
    b) grammatically sound
    c) SEO optimized
    d) concise and direct
    e) based on adequate/required research

    So far I have only served at corporates. I think I am going to wanna go it by myself sooner or later. I could quantify my work in terms of words or characters used, time required, or pages written. But I dunno.

    Can you kindly send me a useful reply? It will be greatly appreciated.

    Thanks!

    Nikhil

    • Nihil,

      I just wanted to chime in since I have provided similar services for some of my clients.

      Content writers are important and a critical part of building a web site. I ALWAYS charge for my time. Time is the most precious commodity anyone has. But I never want to stop there…

      I try to quantify the value received by the company. Companies pay for results.

      How long would it take them to do similar work? How well is your SEO researched? Can you provide documentation of the SEO research/work you’ve done? Can you provide case studies of clients who have used your services and how well they rank? Can you charge a flat fee for unlimited work and relieve their stress on getting a project done? Can you charge on a sliding scale based on the performance of your copy like copywriters do with sales letters?

      I hope this helps.

      Jeramiah

  82. Aurora

    I know this is off topic, but how do you get your hair always looking s fabulous?

  83. Zoe

    Hi Marie! Great video post! Love the whole “mattress” concept. Has helped me rethink how we need to focus on getting our USP’s over to our potential customers. We have our product pricing spot on for our market. I think we need more work on the website to attract customer conversions. Any comments? Please if u have a moment take a look and criticise freely. It all helps!

  84. This is so timely for me, Marie. (How DO you always do that?!)

    I launched my biz several weeks ago, and just a few weeks ago my company slightly blew up all over the internet…it’s kinda like I suddenly became the cool kid on the playground, and I was all like “who, me?”, caught standing there by some tree in the corner, with my bagged lunch, picking my nose.

    Anyhow, all that fun stuff aside, I started getting a reaction I did NOT expect: “Wow! Her products are sooo inexpensive and amazing!” Although I take this as a compliment, it also made me think that in order to grow as much as I think this market would want me to, I’ve gotta boost my prices a smidge. It also totally validates the fact that I can start planning out some products at a higher price point. FUN TIMES HAD BY ALL!

    Anyhow, all this to say that I thought I knew my value and my worth, but was STILL under-rating myself! This is one area I think a lot of us can afford to take a little, calculated chance of asking for what we truly want.

    Merci Marie!
    jess xo

  85. Marie, this is great. So often us generous entrepreneurs forget just how valuable our work is. And how reaching. A wonderful reminder!

  86. You flipping ROCK Marie!! My amazing friend Shelley referred me to this blog post. You’re incredible and I LOVE and admire your honesty, transparency and kick butt personality. Keep being you – you’re amazingly authentic. I want to be YOU when I grow up – well myself but sassy and dynamic like you! Thanks for being amazing! I’m RUNNING to record my next vlog – while I have your energy!!

  87. Ken Millen

    Hi Marie,
    It’s Kenny from the block…in Los Angeles.
    Just watched “Shit Sandwich” & “What Do I Charge?” I found them to be most helpful on many levels. I do have a question. My business is DJ/MC for weddings, TV Sitcom shows, commercial and private events, etc. – a product but you can’t pick it off the shelf. Lot’s of planning, talent requirements, coordination of vendors, equipment, and on and on.
    What’s the best way to impart my value and services to potential prospects?
    Thanks,
    Ken

    • Ken,
      DJs and MCs are not all equal. When trying to impart or communicate the value you bring to your potential clients I always suggest going through a simple exercise…

      “I provide (insert your product/service here) so that … (insert what your client gets here) … so that …”

      I keep going through the “so that” phase and REALLY try to beat down on what your client is REALLY buying from you.

      As a DJ and MC, what are people REALLY buying? Music? No. Prestige? Maybe. Event leadership? Maybe. Interaction? Yes.

      Once you’ve really looked at this aspect and identified at least 3 major things people are trying to get from you, then I suggest a 2 step process:

      1) copycat marketing (your effort to be average) – find out what your competition is charging and price yourself accordingly.

      2) Find out what REALLY sets you apart. (This is your USP). Do you have exceptional experience? Are you funnier? Better looking? Less expensive? Etc. And then emphasize the difference and, if possible, charge a premium for it.

      Jeramiah

  88. patrice

    NICK ASHFORD . . . MAY HE REST IN PEACE . . .

  89. Alison

    This is something I’ve wrestled with for a long time as a writer. In the world of journalism, you’re often expected to bend to the budget of the publication – so they dictate how much they will pay you. Sometimes you can negotiate a higher rate, sometimes not. But, of course, I always try. In copywriting, on the other hand, I’m always asked by clients what my rate is. And I have a tough time responding. Because people, by and large, don’t place a high value on words (probably because they think they can write the same or better themselves). And words can take a long time to write – even a two-word slogan can take days to come up with. So it’s not like you’re charging per word. If I charged for my time, the cost would make most clients run away. How can I get them to pay a good price for the value I’ve added to their business through my sparkling copy?

  90. Great video and so many great comments as well. So many great ideas just flowing around in all these comments to!

  91. Aside from the mattress concept, it’s interesting to think of the buyer’s perspective, rather than “charging for your time”. As a magician, sometimes I perform at the bar next door and sometimes at that corporate event where everything has to be perfect, and the price difference is huge. If I had to explain it to a client, and I actually never need to, I’d say it’s like a graphic designer who charges a different fee for design a flier or the menu of a restaurant, than for designing the “M” of the Madrid subway.

  92. Adam Jones

    Is this for real?

  93. Fabulous Marie!! So appreciate you! I am going to use this right away on my sales page (which I have to send to my tech on Mon-so this is great timing for me!) for an upcoming online marriage prep course:
    7 Essential Secrets to Happily Ever After!

    Cheers!
    Marian

  94. Marie,
    Somehow I missed this post. You made some very good points.

    I just happen to be putting on a business seminar later today dealing with this topic, pricing. Some additional points I’ll be including in the seminar are:
    — pricing surveys
    — market fluctuations: aka, price flux or price float
    (to find optimal market pricing)
    — pricing models (pay-in-full vs payments)
    — examples of pricing models in various companies
    — Q and A (who doesn’t love to ask questions… right?)

    • Fozzie

      Can you send a link to your material on pricing?!
      (if it’s not too expensive, of course?!)
      Thanks,

      Fozzie

  95. I absolutely lovvveeeeee this post! I was struggling with the same question, but you definitely touched on it well enough to get me started!!

    Gracias!

    -JM

  96. I absolutely lovvveeeeee this post! I was struggling with the same question, but you definitely touched on it well enough to get me started!!

    Gracias!

    -JM

  97. I love the Wal-Mart vs Bergdorff analogy. Especially because I don’t want to be either in my photography business. I want to be Nordstom–the place some people go for the every day, and others go for special occasions, but if you really want it, you can afford it. Oh, and to have that level of customer service.

    My main lines are boudoir/glamour and couples/date night photography, both aimed at putting a spark back into your marriage and for women especially, to really know what it’s like to feel beautiful and sexy in your own skin.

    There are 20 photographers doing boudoir within 5 miles of me. About half charge way less than I do, about 20 % charge more and the rest are about in my same price range. I still worry about my sweet spot–more about what to charge up front (session fee) and what to charge after the session (products). Should I do it all up front? Should I have a higher session fee and lower product prices? Should I charge an order minimum? I know what my average sale needs to be, and I could go any of these ways to make it/surpass it. The mattress method would suggest that I do one all-inclusive fee.

    that’s where I stumble on pricing.

  98. I absolutely LOVE this! I’m an interior designer and can’t wait to start using “The Mattress Method” to help prospects see exactly how my services and expertise will save them time and money in the long run. In the past I’ve been very quick to give out pricing without truly communicating the value of the results I deliver.

    So glad to have stumbled onto you Marie!

  99. I loved this video! Your message is so clear and fun. What I really took away was being able to quantify the value of what we offer. We’ve definitely made progress there but still room for improvement.. thanks!
    Jo

  100. Can’t stop watching your videos!!! Pricing my cookies and cupcakes takes simple math and the recipe, but putting VALUE on them is where the mattress principle comes into play. What it costs me to make a cupcake and even price it at industry standards does not cover the true value in terms of time, money, love and health gained when you purchase my treats. BUT I have to value those things in order to effectively translate that to my customers. Thanks…now I’m off to buy a new mattress.

  101. I remember a gallery owner who carries my jewelry telling me that she was frustrated about another artist’s work not selling so she went around and raised all her prices by $100 and what d’ya know? People started buying them!

  102. Learning while I laugh… nice.

    I just priced a logo design a few hours ago and while googling my potential client, I found you. This video was great. It strikes at the core angst of being a solo graphic designer. This is basically the same method I try to use. Calculating the potential or perceived value of my service. But often, it’s the smaller businesses, to whom my service can provide the most value, that are least able to afford market price.

    I frequently find myself trying to gauge their budget through initial conversations. I don’t want to commodify my design work since every project is different, but sheesh, I wish I could just post a menu with prices. I’ll keep at it.

    Back to you, I really enjoyed this post and I’ll be forwarding this to my friends.

  103. Hah! That’s great. My mom’s friend’s daughter married the guy who owns Sleepy’s (or maybe one of the sons in the family). But, diggity dag–those temperpedic beds are The BOMB.
    Ok. Focus. Love the idea of playing around with statistics and average costs of worst case scenarios to play with customers in a light but serious way. I don’t think people are thinking of the fire they are playing with when they are in the depths of their emotional funks. So by offering a reality check in the form of the alternative costs, is pretty slick. and of service.
    Thanks Marie. You get a solid for this.

  104. Thanks Marie for this video! Your free videos have amazing value and I really appreciate them. : ) This is the very question I’ve been asking myself as I’m ready to launch my first digital product to help people soon. It’s clear as day now what to charge thanks to you!

  105. I love your video’s especially on Fridays. I’m an HR Consultant, so this is one question which always gets me- pricing…..in-house or off-site……admin tasks included or not…….overhead costs……..client meetings……how do all these come together in a price? I’m so specialized……….would love it if you replied back………..

  106. This video really gets to the heart of pricing, which is value. I think many of us gals underestimate our value, in general, so in business it means that pricing can become a huge obstacle to overcome. (I’m speaking for myself here!) In considering how I’m going to build my business, I’ll remember these ideas — and I took notes. 🙂 Thank you for explaining pricing in a tangible way, despite the limited screen time.

  107. hello,

    i think this youtube link is broken; can anyone fix it? It stops loading after the first 30 seconds or so

    thank you,

    kristin

  108. Melissa

    Ciao Marie Bella!!
    Love this vid!
    I feel I can save my target market LOTSOF MONEY!
    my target market are new mums with depression and anxiety. I mentor them privately on how they can self heal and transform back to their true powerful selves that they have disconnected from. Through my sessions they not only start to feel reconnected, alive, powerful and happy again they are able to no longer take medication and really be in control of their lives as a woman and as a mother without letting the depression and anxiety block them from fully experiencing the life they were meant to.

    There is a huge demand of mums that are suffering and are on medication and have lost feeling powerfully in control of their lives. The amount of money that they would spend on medication, doctor visits and traditional therapy would average $200 month – over 6 mths this would be $1,200. I’m just starting out and felt bad charging alot per session. Now I’m starting to see the huge value in my sessions – I get to gift them with better health, self love, and heal them quicker than spending a lot of time taking meds that aren’t solvingthe root problem and they get to grow and transform as a woman so much deeper than traditional therapy .

    question- how do I now turn free session clients to continue getting mentoring and paying? I feel the free clientele I’ve targeted don’t want to pay?

    I’ve already done lots of free sessions to get practice and get testimonials.

  109. Pricing can be such a dirty word in the business world, but it’s just not something you can (or should) avoid! For me the harder part was committing the valuing myself. Because my products are all primarily handmade and labor intensive it can be difficult for me to put a price on the amount of hours that I’m working on something. After working with my biz coach I was able to tackle this monster a bit better and I used the Resonate Pricing method. We also discussed that considering an hourly rate for the kind of work I’m doing isn’t really realistic if I were considering how much I would get paid were it decent per hour.

    I think this is an extremely important thing to consider when you’re trying to write your copy though, whether it’s a pitch for a program or service or a product description. Communicating beyond describing and really getting to the point of what this product/service does for your audience is super important to include.

  110. Bridget

    Awesome as always, Marie – really great content!

  111. The Mattress Method sounds like a PLAN!

    I think I need to do some research regarding how much time grad students speak throughout their MBA program. I’d break it down by day….

    THANKS, Marie!

  112. The Mattress Method: as brilliant as simple. I am applying it now!

    Thanks, Marie!

  113. Jovan

    Muahahaha, I am going to use this even though I don’t have a vagina.

  114. Oh wow, so happy I stumbled upon this post this morning, it just helped me tremendously. “Entry level product”, how didn’t I think of this before? This video is gold !!!!! Thanks Marie!

  115. Amber S

    Someone PLEASE explain to me what one means when referring to the “mattress method”. This term was used while I was reading on investment banking and I need a more thorough explanation in order to further comprehend.

  116. Chante

    Day One:

    This is day one of me choosing to do anything with the gift that God has blessed me with. I happen to stumble upon this website and must say it is a gem. I’ll keep you posted!!!

    Thanks!

  117. I love the MattressMethod. I have been underpricing myself due to worries that other people can’t afford my services or that I am fearful that I am not good enough. ( I also fear I never know enough). Now I realize the difference I make in their lives and not to look at the price, but look at what it can do for their time, money, health and relationships…loved this vid!

  118. I opted to take this month and do some business evaluation and I randomly pulled this video out of the ole archives and it’s just so timely!

    Since I’m developing a new program and want to look over some of my older ones the “mattress method” is going to be great to help me really define the value so I can better communicate it to those who may not have had a lot of time to work with me.

  119. Thanks a bunch for this post, honey! This makes a lot of sense! Know your worth, a lot of us struggle with this daily due to the economy, worries about what others may think, worries in general surrounding money and so on. It’s essential for us to know our worth so that others can know it and respect it too! Thank you for this!

  120. Hi there to all, the contents existing at this web site are in fact awesome for people knowledge,
    well, keep up the nice work fellows.

  121. Kelly

    I have started a wedding rental business and am struggling to find a price to rent my items for! Please help….

  122. wow! Really love this video – taking the time to dig deep and see the value you are providing to people’s lives is so often overlooked! Thank you for this x

  123. YES YES YES!!!! This was definitely needed and gave me some clarity on my own pricing structure. I have been battling with the pricing to sell and pricing to attract ideal clients.

    I am going to try this and see what I can come up with. Thanks for the video!

    • Caroline - Team Forleo

      Hooray! Go Jennifer 🙂

  124. In missions, gamers can navigate their chosen character by way of linear ranges with a joystick thumb control that ends in a boss battle.

  125. Sharla

    I make jewelry and sell it. If someone breaks their jewelry how much should I charge?

    • Caroline - Team Forleo

      Hi Sharla, great question! The answer is whatever feels the best for you and makes sense for your business. You might decide on a strict no-refund policy (unless of course the item gets damaged in shipping or something like that), or perhaps you might offer a discount for repair or a replacement piece. Some people also do offer full replacements at no charge as well.

      The most important part is getting really clear on what feels the best for you and your business, then making that abundantly clear on your sales pages and terms. That way customers know exactly what they can expect.

      For a few tips on that, check out this great MarieTV! http://marieforleo.com/2011/09/handle-refunds-unhappy-customers/

  126. Roxanne

    Loved the video. Thanks for the insight but I need a little more suggestions pleeeeeaaaaasssse? Ok I’m a dance instructor and right now I get paid now 40.00 an hour. However, this is just for one gig that lasts only that and I drive 45-55 minutes to and from the studio to do this job! Recently I was asked by a family karate school if she could hire me too. Her studio is the same distance BUT from what she stated is that she’ll like for me to work at least 6 times a month! This is waaaay more days then working for the other person. This is when you come in to let me know how much should I charge? This is an entry level since I just moved into this area and my selling points are: health, energy, having fun and looking fabulous. Overall I will love to do what I once did before which is be mobile and I charged various rates depending on the distance as well as people I’ll be instructing. I feel so lost because I’m not prepared. Again, please help!

    Thanks,
    Roxii

    • Kristin - Team Forleo

      Roxii, what a great opportunity! You’re really the only one who can set your rates — what would make it worth it for you to invest your time, gas, travel, etc into this job? It might be helpful to learn what other people in your industry charge for similar things and use that as a compass. Good luck!!

  127. latoya

    Hello my question is how do I go about charging clients for ddifferent types of events when they say i cost to much so they will ccoordinate the event thereselves?

  128. Hello there. I am writing a book and want to sponsor a candy company in the book. A brand of candy. I wanted to charge 6,000 dollars a year. Like a licensing deal. The book will be seen by children nationwide. Or should I just charge one fee total.

  129. Olá my gorgeous ladies you’ve been a flipping inspiration to me.

    I am a mobile hairdresser and am wondering how to price my services.

    This is a challenge as in my industry people are used to having the service and the price ie:
    Cut&Blow dry: £30

    My challenge is incorporating the time it takes me to travel there and back and once I arrive to they’re home the time it takes to unpacked my goodies and set up my home salon.

    How can I charge for the service and my visit without scaring them off?

    Do I charge per service or per visit?!?

    Love u guys
    Hugs&Kisses
    Rute

    • Mandy - Team Forleo

      That’s a really good question, Rute! Since you’re coming to their home and saving them from driving to a salon, that’s worth charging more for. If you weren’t coming to their home they’d have to go out to get their hair done, so you’re saving them time and I bet they’d be willing to pay more for that premium service. Definitely something to consider!

      • Thanks that’s so helpful
        Love You guys ?

  130. Hi there, I would like to subscribe for this webpage to take latest updates, so where can i do it please assist.

    • Kristin - Team Forleo

      I can definitely help you with this, Envasadora. If you scroll to the bottom of our website and click the “Make It Happen” button, you can enter your information to subscribe to our list. Hope this helps!

  131. I LOVE this video. Since we are prone to undervalue ourselves, it really gets me thinking about what benefits my product will bring to my users and how to price it. The funny thing is that when I see people underprice themselves I immediately devalue their product too. Definitely working to not be that person, thanks for the great vid Marie!

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