E. 326: Your Most Expensive Offer Might Be Your Worst One
Most people assume that a $15,000 project is automatically better than an $8,000 project. But a higher price does not necessarily mean more profit. In fact, it often means the opposite.
Years ago, I worked with someone named Sean who was trying to sell more of his $15,000 full-service projects and fewer of his $8,000 packages. When we ran the numbers, he discovered that the $8,000 package was twice as profitable and much easier to sell. He stopped offering the bigger project completely.
This happens because premium service providers often overdeliver on their most expensive offers. The price makes us uncomfortable, so we throw in the kitchen sink to justify it. That extra time quietly destroys the profit that made the project look so appealing in the first place.
In this episode, I explain how I use the 50/25/25 rule to determine whether an offer can actually support your financial goals. We also look at why filling all your available time with client work keeps you stuck on the hamster wheel, even when you’re booked and bringing in plenty of revenue.
The solution isn’t always to raise your price. Sometimes the smarter move is to tighten the delivery, put better boundaries around your time, or stop selling the bloated offer altogether. A smaller, highly profitable offer can out-earn a large, exhausting one every day.
Understanding your profitability gives you permission to stop chasing impressive price tags and focus on the offers that create more money, freedom, and ease. You cannot determine that by feel. You have to look at the numbers.
Find this episode for free on your favorite podcast player.
Tune into this episode to hear:
How Sean discovered that his $8,000 package was twice as profitable as his $15,000 project
Why charging more can cause service providers to overdeliver and erase their profit
How the 50/25/25 rule protects time for business development and freedom
Why being booked and busy does not necessarily mean you have a healthy business
The difference between accepting a lower-profit project for short-term cash flow and building your business around one
Why tightening your delivery can improve profitability without raising your price
A simple exercise for comparing your most and least expensive offers
Resources:
Join the Scale Solo Masterclass
Grab the first chapter of my new book Scale Solo: scalesolobook.com
The Price to Freedom Calculator™: nobsmastery.com/price
Grab a copy of my book Badass Your Brand: Badass Your Brand
Find this episode for free on your favorite podcast player.
