I get it – most professional services companies get paid for what they do rather than what they get done. The uncomfortable truth is that you are producing much more value than you are being paid for. All to say this: Your company can and should be compensated better for what you do – and it’s your fault that you’re not. That’s Ok, you can also fix it.
As founders of small service firms in the US with 10-250 employees, you understand the significance of a well-crafted pricing strategy. Pricing isn’t just about setting a number; it’s about defining your firm’s value and ensuring sustainable growth. In this article, we’ll explore how a professional service firm’s pricing strategy evolves through the three lifecycle stages – Grow, Scale, and Exit, based on the framework presented in my book, “The Boutique: How to Start, Scale, and Sell a Professional Service Firm.”
In the competitive landscape of boutique professional services, it’s crucial to elevate your status beyond that of a consultant to become recognized as the foremost authority in your niche. By positioning yourself as an authority, you can unlock new opportunities and take your boutique service firm to greater heights.
As a founder of a boutique professional service firm, you might find yourself at a crossroads, pondering if competing on price is the right strategy for your business.
Coming up with a price isn’t a pricing strategy. You also need to know what your clients are willing to pay and how to explain why you charge the rate you do.
