As an email marketer, your primary goal is to increase sales. You do that by providing subscribers with the information they want and need. This could be through compelling content or promotions. But you also need to think about how you price your services. One of the most overlooked aspects of marketing is pricing. Let’s take a look at some steps to help you create your digital marketing service pricing!
Understand Your Costs
Before you can price your services, you need to know your costs.
One of the most important things to know is how many hours per month it will take for you to deliver the services requested. This includes both hard and soft costs. It’s also important to know how much time each service will take. Make sure you understand what goes into providing your services and what it takes to provide them well.
For example, if you’re a graphic designer and someone asks for 50 logos, that will take a lot more time than if they asked for one logo. Knowing these numbers upfront will help you decide on pricing and prevent you from losing money on projects that don’t fit with your capabilities or constraints.
When figuring out your costs, make sure there’s enough margin in the cost for overhead expenses like marketing materials, supplies, etc. If not, you’ll end up losing money investing in those items as well as time spent making them!
Create a Pricing Strategy
No matter what you’re selling, there’s always a need to set the right price. It’s not easy because you want to pay close attention to your competitors’ prices and charge less than them, but you also want to be fair.
To start, take some time to research the market and find out what customers are willing to spend on your products or services. You can use this information as a guide for how much you should charge for your digital marketing service.
If the prices seem too high, consider changing your product or service offering. Is it possible that you could bundle two services together? Or offer a lifetime membership instead of an annual one? These are just some strategies that can help make your prices more appealing.
Another strategy is to charge less upfront but have higher renewal rates. This will offer an incentive for people to complete their commitment with you!
Consider the Value of Your Services
The first thing to do is determine the value of your digital marketing services. You can do this by asking yourself:
How much will my customer save by implementing my service? What is the opportunity cost for not taking advantage of my services?
What would it take to replace me as a provider of these services?
What impact would it have if my customer were to switch providers?
Decide on a Pricing Structure
The first step in pricing your digital marketing services is to decide on a pricing structure. If you are unsure, there are several options to choose from.
You could set up a monthly flat rate where subscribers pay the same amount every month. You could also offer time-based rates that charge subscribers based on how many hours they need your services for or by project-based rates, which charge subscribers based on the project they want done.
The other option is tiered rates. Tiered rates are different prices at different levels of service. For instance, you could offer two packages: Basic and Premium service. The Basic package would be cheaper than the Premium package but offer less features like more templates or an increased number of emails per month.
#1 Decide On A Pricing Structure
#2 Set Your Monthly Flat Rate
#3 Offer Time-Based Rates
#4 Offer Project-Based Rates #5 Offer Tiered Rates
Know Your Audience
The first step you need to take is to know your audience. You want to analyze what they value, their spending habits, and how much they’re willing to spend on a service. This will help you figure out what price point you should use for your marketing services.
If your audience tends to be cost-conscious then you’ll want to offer a lower price point. If your average customer tends to spend more, then you can charge higher prices for the same service. Pricing is always relative, so it’s important that you find an appropriate price for your target audience.
It’s also important that prices are consistent across all channels (e.g., website, social media ads). It’s not uncommon for marketers to set different prices on different channels because it can make pricing easier. But this leads customers feeling like they’re getting taken advantage of whether or not that’s actually the case!
Customers prefer consistency in prices so that they can compare prices without having multiple offers thrown at them at once!
Get Feedback from Industry Peers
Marketing experts offer valuable insight into pricing, and it’s important to take advantage of their knowledge. There are a number of experts in the marketing industry as well as those who offer marketing services.
There is an opportunity for you to ask them about what they charge and how they price their services. This will give you a better idea of the different options available to you with respect to pricing.
It’s also worth considering what other professionals in your industry and niche charge for their work and services. You may find that you’re overcharging or undercharging for your work. Or, there may be something specific about your service that makes it difficult to determine pricing, such as working on commission with clients who don’t have a set budget.