Undercharging as a Coach? It's a Value Problem, Not Price
Many coaches and consultants undercharge because they price from their own view. John Ray shows how value conversations and three simple options can fix it.
Host: Bernie Franzgrote
Undercharging as a coach? John Ray joins Knack 4 Business to explain why value, not price, is the real problem, and how to raise rates without losing clients.
GROWTH CATEGORY: Sales & Revenue
Brought to you by Canada Growth Network, Profit10, and Property Wizard Podcast.
You do good work, and you still feel like you are working too hard for too little. You raise your rates a little, then you worry, then you stop. John Ray says the price is not what is holding you back. It is how you see your own value, and he shows you how to fix that.
John Ray is a pricing and value advisor, the author of The Generosity Mindset, and the host of the Price and Value Journey podcast. In this conversation with Bernie Franzgrote, he explains why consultants, coaches, lawyers, and accountants fall into undercharging. The problem is rarely the price. It is how they see their own value. John shares a pricing strategy built on value conversations, good, better, best options, and smart value pricing that lets you raise prices without losing good clients. He also shows why pricing belongs in your growth strategy and your exit plan, and how it drives business growth. This episode is for service professionals who work too hard for too little money.
Watch the full conversation here:
Many coaches and consultants undercharge because they price from their own view, not the client's. John Ray, author of The Generosity Mindset and host of the Price and Value Journey podcast, explains how value conversations reveal what clients really pay for. Readers learn to offer three options and raise prices with confidence.
Who this is for
SMB owners, solopreneurs, corporate escapees, and leaders building systems.
Key lessons
1. Price from the client's view, not your own.
John told a story about a mechanic who taps a ship's engine and sends a big bill. His twist is that the ship owner is not paying for a fixed motor. He is paying so the cargo gets delivered on time. Ask your client what the result lets them do next. If you save a firm $50,000, ask what they will do with it. They may hire a salesperson who brings in $300,000 a year. Now the value is far bigger than the first number, and the client is more willing to pay.
2. Weak pricing leaves clear signs.
John looks for three red flags. You work too hard for too little money. You take almost any client. You bill by the hour. A price that is too low does not filter out price-sensitive clients, so you give your best service to people who do not value it. A fixed fee can still be hourly pricing in disguise if you built it from your hours and not from the value you deliver.
3. Raise prices as a process, not a surprise.
A letter with a new rate often backfires if you have not talked with clients first. Ask them why they stay with you. John says this can take several months to do well. One bookkeeper he knows used one-year contracts, so every renewal had room for a fair change. Netflix does the same on a bigger stage, and ties every notice to the value you get. It also lifts the worth of your business when you sell, because a buyer wants proof of pricing power.
Practical steps
- Pull your last five client reviews. Mark each line that has nothing to do with your service. That is a clue to your real value.
- Build three options: good, better, and best. Put your strongest offer in the premium spot.
- Put a yearly pricing review on your calendar for every client.
About the guest
John Ray advises solo and small-firm professionals on pricing, value conversations, and growth. Connect: johnray.co · LinkedIn · Books · Blog · Newsletter
Listen on audio
Partners on this episode
Canada Growth Network: business connections plus a robust CRM, $47 CAD a month.
Profit10: a free ten-question Profit Snapshot that shows where your business leaks profit.
Property Wizard Podcast: real estate and wealth building, made practical, with Fred Crouch.
FAQ
Why do coaches and consultants undercharge?
Many price from their own comfort, not the client's value. Self-doubt and comparison also push prices down.
What is a value conversation?
It is a talk where you ask clients what the result lets them do, and what that is worth. John offers free sample questions at generositymindset.com.
How often should I review my prices?
John says at least once a year for every client. He also says pricing is part of your growth strategy, not a one-time fix.
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