If you don’t charge for your work, you don’t have a business – you have a hobby.
Before we go into optimizing your revenue and doubling your freelancing rates, let’s talk about some common pricing models. The pricing models I’m introducing here are:
- Hourly pricing.
- Project rate pricing.
- Retainer pricing.
- Value-based pricing.
From experience, there is no one pricing model that works for all situations. It’s easy to start with hourly pricing. As you get more advanced, you can incorporate a few pricing models into your proposal to make sense for your clients and your business.
Lesson 1 - How to Double Your Freelancing Rate
When I started my music school business, I had thought the same as most people: “To grow revenue, find more customers.”
But as I became more mature in business, I found that finding more customers is often the hardest way to grow revenue. Yes, selling is important. But constantly having to look for new customers is extremely tiring as a freelancer. You don’t have a dedicated sales team doing sales and managing clients.
In this topic, you’ll learn 3 ways to effectively grow your revenue and multiply them. You might not be able to implement them yet if you have not gotten a client. But as you get your first few clients, I want you to begin applying some of the revenue multiplier strategies here.
Lesson 2 - 3 Ways to Grow Revenue
In this topic, you will learn two ways to increase your Average Order Value (AOV):
Optimizing your pricing model.
Introducing upsells.
A quick note about upselling. Most businesses and freelancers feel like I’m asking them to scam their clients when I ask them to incorporate an upsell. I want you to think of upsells as a way to provide more value to your clients.
An upsell is supposed to make the experience better for your client. Some popular upsell examples:
- Upsize your meal for RM1 at Mcdonalds’.
- Buy another PS5 controller for 50% off.
- Get your new car tinted for just RM100 extra.
Lesson 3 - Increase Your AOV
The most expensive thing in a business is customer churn. Businesses spend thousands and millions of dollars (advertisements, TV ads, influencers, etc.) to acquire clients. So, when a customer leaves, that’s very expensive for a business.
The same is true for you as a freelancer. Your goal is to implement the strategies you’ll learn in the video, to get your customers to continue buying from you every month.