Q&A: Outcomes Over Deliverables, Charging Your Worth, Saying No, Ignoring AI
Feb 26, 2025
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Join Patrick McAndrew, a moderator at the Life's Work event who specializes in business strategy, as he chats with Rich Webster about vital entrepreneurial insights. They dive into the power of selling outcomes instead of mere deliverables and challenge the notion of 'charging what you're worth.' Discover the 'Line In The Sand' test for client selection and the intriguing dynamics of turning down big money. The discussion even tackles the cautious approach to AI in business. Prepare for enlightening strategies that could transform your professional journey!
Focusing on outcomes rather than deliverables allows service providers to better align their offerings with client needs and justify higher prices.
Establishing a 'line in the sand' helps professionals maintain focus on ideal clients, fostering a healthier work-life balance and deeper client engagement.
Deep dives
Focusing on Outcomes Over Deliverables
The discussion emphasizes the importance of prioritizing outcomes instead of merely focusing on specific deliverables. Deliverables, such as a website or coaching sessions, are often what clients think they need, but what they truly desire are the results those deliverables can produce, like increased leads or personal growth. By concentrating on the outcomes, service providers can better align their offerings with what clients genuinely care about, which not only creates a stronger connection but also enables providers to justify higher pricing for their services. This shift in focus encourages a more holistic view of the work being done and its value to the client’s life and business.
Challenges in Advocating for Value
Transitioning from discussing deliverables to outcomes is often difficult due to a lack of empathy and understanding for what clients truly need. Many professionals are deeply engrossed in their craft and overemphasize their own expertise rather than considering the client’s perspective and desired improvements in their lives or businesses. Furthermore, advocating for one’s work can feel uncomfortable, as it requires confronting perceptions of self-worth tied to professional services. This discomfort stems from the realization that one's expertise often creates more value than they acknowledge, which can complicate how they communicate their worth to clients.
The Power of Value Pricing
Shifting to value-based pricing models allows service providers to price their offerings based on the outcomes they deliver, rather than fixed deliverables. This requires entrepreneurs to understand and anticipate the potential value their services generate for different clients, as the perceived benefit can vary significantly based on the client's context and specific needs. For example, a service that enhances profitability will be worth much more to a larger company than to a smaller one, thus necessitating a tiered pricing structure. By focusing on value rather than fixed pricing, service providers can better match their services to client expectations, enhance satisfaction, and cultivate long-term relationships.
Navigating Pricing and Personal Boundaries
Establishing a 'line in the sand' is crucial for professionals to maintain focus on ideal clients and projects that resonate with their skills and passions. Defining this boundary allows service providers to say no to projects that don’t align with their goals, despite the temptation that comes from potential income. This practice fosters a healthier work-life balance and allows for deeper engagement with clients who are the right fit. Additionally, reflecting on and adjusting pricing based on personal comfort levels and client feedback encourages growth and positioning in the market, reinforcing the idea that what one charges should reflect the value provided, rather than personal self-worth.
Last month I spoke at an event called "Life's Work" in La Jolla, California, organized by my good friend Blake La Grange. In the Q&A conversation, moderated by Patrick McAndrew, we discussed:
- Selling outcomes instead of deliverables - Why you shouldn't "charge what you're worth" - The "Line In The Sand" test for picking clients - Why everyone's a gangster until they have to turn down $10k - Good pain vs. bad pain in business - How to use my "Agent Rule" to charge more money - Why full price or free is still the best policy - Why I didn't touch AI until 2025
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