What’s the Most You Could Lose?

Click here if you can’t see the video.

Tara asked a doozy of a question in the last post. The mere idea of raising your prices 10-fold?! Makes you squirm just reading it, right?

You have a perception of where you want your business and your work to be valued, and it’s a lot higher than it is currently. Yet, you remain where you are because it’s working, and to move away from that seems to be a serious risk.

Here’s a little secret: raising prices is only uncomfortable when you’re afraid of losing.

When thinking about raising your rates by ten times, I’m willing to bet you’re creating all kinds of visual scenarios about how it won’t work and what will go wrong.

So, let’s park on that. Today, I only want you to concentrate on what you could possibly lose by raising your rates ten times more than what they are now.

Have fun with this one because I’m giving you a golden opportunity to open up and vent. I wanna see guts spilled all over the comments section.

And don’t worry, none of us are going to show up and pat your hand telling you it would never happen. No, we’re just gonna let you describe the worst case scenario for your life and business if you raised your rates. Go on, make it ugly.

So tell me, what’s the most you could lose?

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Comments

  1. Janice Bear says:

    Okay, let’s do this. In this alternate reality I raise my prices ten-fold making my least-expensive garter $180.00. And then, people say that thing only whispered by a tentative voice in my head: “This is a piece of crap.” I am blamed for all that is wrong with the world – high prices, pollution, waste, entitlement. People leave mean comments on my blog. Facebook deletes my business page so people leave mean comments about my shoddy work for ridiculous prices on my personal Facebook page. Then, mt ex-husband feels I have introduced his daughter to a sick, sad environment of hate so he sues for custody and I lose my baby. “I knew all along I wasn’t good enough!” I’ll wail to my mom on the phone. My landlords will look at me with distaste, and my husband work will lose respect for him because he chose his wife so poorly. So now we’re on the street where I’ll probably get some staff infection and slowly die of the toxins leaking into my system.

    I don’t like that world, Adam, please make it stop! And that’s the worst I can imagine right now. How was that?

    • Adam King says:

      Perfect, Janice!

      I love it. Look at all the carnage and destruction! The horror! ;)

      And a staph infection from living on the street, now that’s impressive. I would have never thought of that detail.

      Brilliant work.

      • Janice Bear says:

        And look, just look! Even thinking about raising my prices has caused major disruption of my typing skills. All those typos up there!

        By the way, I raised some of my prices today.

  2. Megan says:

    If I raised the price of my limited editions from $200 to $2,00 and lost everything, I would mean me losing all of my food money, losing my apartment, having to find a job flipping burgers or in retail so that I could continue to live in California with my boyfriend while he finishes his graduate degree. It could also mean not finding that job and then I have to move back to North Dakota to my parent’s house where I have to find another burger-flipping job to pay the (slightly lower) rent they would charge. Then I’d be like all the other sad people I graduated with who never made it out of their home town and think that a place with one bar and no sushi is enough to entertain them for the rest of their lives. I’d then have to break up with my boyfriend or become a freeloader once he gets his own job and then I’d feel even more like crap. Please don’t make me move back to North Dakota!

    • Adam King says:

      Megan
      Gotta admit, North Dakota even makes me shiver, and I used to sleep in Canadian snow banks in -20 degree temps!

      Great scenario! How scary was it typing all that out?

      • Megan says:

        It did create a cold lump in my stomach and pictures of being 30 and back in my parents’ unheated basement. And then I realized how silly that was. I’m far too ambitious and thick-headed to let that happen to me. I’d do whatever it took to make this dream of mine work. I’ve always flown by the seat of my pants and believed that I can do whatever I want (except be an astronaut since I couldn’t pass the vision test). So it was nice to get the fear out there and now I feel more power than ever!

  3. Gwyn Michael says:

    This is very interesting. Since Art of Earning I have been working behind the scenes to completely restructure what I do and offer with raising my prices significantly as a piece of it. Ten times though? For what I do now I could not in good conscience do that. As a real life example I just sold a print at the old prices which I am delivering today. It is last minute because honestly I am resentful that I sold it for too little, However the price times ten would make me feel like a rip off. $1,750 for a digital print of one of my lesser pieces, meaning not a masterpiece, and I do have a few.
    So let’s just say I do this anyhow. Two scenarios come to mind.
    1. I sell nothing which is almost the case now. Nothing really changes. I am still broke. My husband still works. I still complain. Maybe I get depressed and stop taking my meds and die a slow painful death from cancer, involving lots of vomit. I leave behind a bevy of prints that don’t sell even when I’m dead.
    2. My inflated prices get the attention of some high end collectors and sales go wild. I am suddenly raking in money I could not imagine and my ego goes nuts. I become greedy self absorbed and all the things I have worked so hard not to be. My husband leaves and I don’t care. I spend my millions on expensive cancer treatments and spas and travel and die old and very lonely and having contributed nothing to serving the world. I am the worst kind of failure I can imagine. Worse than Donald Trump.
    There.

    • Adam King says:

      Gwyn,

      Glad to hear from you. I think you’re scenario takes the cake. If I was handing out a prize, (and I still just might do that) I’d for sure have to hand it to you for that comment.

      It’s bleak, dreary, hopeless, and all kinds of painful. It’s like a script of alternate realities. I love it.

      So how do you view it now that you have it all down to read in front of you?

  4. Dave Ursillo says:

    Good discussion here. Chiming in with 2 cents from reading comments above first of what I’m seeing from shared concerns.

    1) Fear of pulling it off: actually accomplishing it, having a new high standard to live up to and being vulnerable of losing it all, slipping, being judged, etc.

    2) Fear of flopping: specifically, financial implosion and a lot of fears (aka pre-emptive failures) that would lead to some irreversible path, although we all know that no path that we imagine, for better or for worse, is as concrete as we hope it will be, or as irreversible as we fear it will be.

    3) Fear of inability/insufficiency — this one is my own.
    Raising prices 10-fold makes me think that my performance needs to increase 10-fold too. There’s added pressure on production, performance, achievement/outcomes. The high price point elevates expectations of users/customers and thus you’re obligated to meet or exceed their expectations to a high degree — and a lack of confidence can easily derail that. Right now, I’m on the edge of offering a high price point consultation. I would hate for my offering to come up short to people’s expectations — even though the expectations are their own, and not something I would try to deceive them into — and feel like it’s not the best money they’ve spent in a long time.

    D

    • Adam King says:

      You just had to come in here and get all positive and thinky, didn’t ya Ursillo?

      Actually, you nailed it perfectly. The three most common types of fear scenarios: It works. It fails. It creates more responsibility.

      In essence the idea of changing in order to keep up with the growth is what usually requires the most sacrifice. Especially of habitual patterns.

      Well said, sir. Thanks for being here.

  5. Jeanie Witcraft says:

    Raising my prices 10x. Hm… while I agree that therapists are one of the last to charge what they’re worth, due to ethical concerns, self-righteous notions that everyone should be able to have access to care, and a sense of providing value to societal functioning as a whole, we ought to be able to charge more than barely minimum wage when all things are factored in.

    So, I charge $1000 for a therapy session. First of all–managed care being what it is, I’d have to have a thriving self pay private practice and about 10 more years of experience to justify that.

    I have potential customers complain to the licensing board about egregious business practices and they come and investigate. I’m forced to lower them to what the market will bear or risk sanctions. I pay out the wazoo for legal representation to defend me during said investigation, as a result, my malpractice insurance deems me uninsurable, and I can no longer practice without that coverage.

    There. That’s my worst case scenario. WHY though, do many therapists think their time is worth $50-150/hour MAX? It’s time for a marketing revolution amongst the therapists of the USA, in my opinion. How can we sell our services if we’re ‘not allowed’ to discuss the benefits of therapy?

    • Adam King says:

      Ok, Jeanie. That’s interesting.

      I hadn’t considered a field where there would be actual legal ramifications for raising prices.

      That puts a whole new level of pressure and risk on it, doesn’t it.

      And you’re right. There needs to be a revolution in pricing as well as access to real lasting care on all fronts of human existence.

  6. This is a great invitation to imagine colossal failure! :) Well, if I raised my rates from $100 to $1,000 for a therapy session a couple things could happen. My colleagues would laugh at me and tell everyone that I am not worth 10% of that fee. I would feel like a fraud and become clinically depressed and unable to work at all. My clients would all leave, I wouldn’t be able to pay my mortgage and my kids would have to beg for food. It would be catastrophic!

    In all reality, I have focused my practice on a specialty (teenage boys), I do good work and I should raise my rates soon. I do agree with Jeanie that therapists need some help owning the value they provide and charging accordingly. Thanks for this post and thanks to Jeanie for introducing me to this site.

  7. Gwyn Michael says:

    Hmm with Dave’s and others input I think I fall into the creates more responsibility category. However that does not scare me. I am ready to take on mote and deliver foe a higher price tag.
    The negative scenarios I present are pure fantasy.I would not allow them to happen.
    I feel confident I can create and deliver a product/service that pays me what I am worth and delivers. There are still many questions and things to sort out, but I am on my way. I thank this group of people and the connections I have made online for the confidence to do so.
    Fairly amazing!
    Thanks for the interaction!

  8. Bridget says:

    When I think about my business in terms of the monetary value I can create for myself, I make a lot more money. I also serve more people. However, iIt comes at the expense of my creativity and freedom, two things I love more than money.

    Knowing how much you want to bring in, money-wise, and what it takes to do so, helps you plan better.

    The strategic choices you make in your business differentiate you much more than the actual value that you provide. And I would just love it if the most valuable/ best at their jobs were paid what they’re worth, in every field.

    For many, earning 10X their current rate means creating DIY programs, retreats or affiliate certifications/franchises. It’s creating a business that goes beyond what you do one-on-one. The more I go there, the more I find that there are so many people to serve in this way.

    Being clear on my purpose and keeping my emotional variables in their place (i.e., not at the center of my business) helps me keep my head, and also it helps me differentiate myself from my business. That differentiation helps me grow my business strategically.

    As an intuitive guidance counselor and energy worker, I see a lot of people in my field who do not charge enough for their work. And I see a rare few who charge plenty.

    In my field,(and I imagine, in many fields) there is not a direct correlation between price paid and value received. In two hours, I’ve solved problems that have plagued people their entire lives. Over several sessions, I have saved marriages. Through my coaching program, I have taught people how to be powerful, which in turn has caused them to get significant raises and better titles!

    How do you price that? I like what I charge. I feel good about what I do and what I serve.

  9. Gwyn Michael says:

    PS: Isn’t a common worry that abundance will turn us evil?

  10. Gwyn Michael says:

    Well Adam , good point…