It started on Twitter…
Midway thru my day today, I noticed a conversation happening on Twitter.
I was roped into it because I often talk about value-based pricing and people assumed Lindsey wasn't doing what I would suggest.
But that, of course, not only caught her off-guard but a bit defensive.
And that's what I want to share with you today.
You don't need to justify your business plan to anyone.
Well, ok, let me back up a bit. If you're still working from home, under your parent's roof – then maybe you do.
If you've taken other people's money, then maybe you do.
But in just about every other case, you don't.
There's a market segment for everyone
Sure, there are many times when I will say, “Raise your rates” without digging into the specifics of a person's business model. But I almost always start by saying, “If it were me…”
I do that for a reason.
I'm not you. I don't know you. I don't know your market.
And if I don't know your market, how could I seriously attempt to determine which market segment was right for you?
After all, there's a market segment for everyone.
If you go down market…
The only way to go down market and to compete successfully against others trying to do the same, is to make sure you do understand your business plan.
Knowing your target audience, knowing your cost structure, understanding how it scales as customers increase – these are all critical as you establish your WordPress business.
She also uses the Genesis framework, so she likely knows how to keep her costs low.
And that's the trick – you have to keep your costs to a bare minimum if you go down market.
So here's a list of costs to cut out completely:
- Training: Create a set of videos (or use WP101 stuff) so you never have to train again.
- Managing Expectations: Use automated email campaigns to manage expectations.
- Design: If you're using Genesis too, consider Design Palette Pro to let customers change styles (without code)
When you do that, you might be able to compete as a low-priced leader for certain specialties while still making a profit.
But whether you go up market, or down market, whether you move your prices higher or lower, know this:
You don't ever have to justify your business plan to anyone. It's your call.
And if you want some coaching, hit me up on my contact form.