Your Personal Pricing

Young entrepreneurs frequently ask me: “Why do you do this for a living?”

Well, I tell them, I know my value relative to the price that any employer (customer) is going to pay me (service provider) for consistently delivering that value to them as a paid employee.

While I came prepared to answer business & pricing model design questions in front of a live student audience, I hadn’t realized that the value model was the basis for my decision to professionally pursue entrepreneurship in the first place.

Reading the following excerpts triggered a flashback to 2010 during the tail end of a 7 week stretch where 20 hour workdays sans weekends caused me to SNAP into, finally, dictating his own fate:

  • “Set the right price to match value perceived by the customer, with a fair return for you.”
    • Listen carefully to the market in which you choose to operate. Your target customers will tell you if the price you’re charging for your products / services / operation is believable within the context of how those propositions are delivered to that segment.
  • “…if you can quantify a large value or cost savings to the customer, charge a price commensurate with the value delivered.”
    • Knowing your personal / commercial value (at all times) and quantifying either in terms that a customer can understand translates to generating revenues and / or securing investment.

Whether entrepreneurship is for you or not, it’s important that any you identify / implement a pricing model that is specific to the types of returns you’d like to generate for whomever is invested in your personal / professional success.

To learn more about how executive operators work with Start-Up Port on pricing for their products and companies, contact us.

Authored by: Archel G. Desir