Consistent financial growth is very important for every freelancer and business. You as a freelancer want to raise the prices of your services and on the other side clients want more profit and income from your work. There are many situations in freelancing and jobs when we have to work hard for clients at cheap prices. And also there are situations when no one cares about our services and hard work.
I don’t know what is the case with you. But I will share a few tips from my experiences and I hope that will help you to discuss the prices with clients.
Work on the following things before you ask to raise your prices:
1. Be productive and outstanding in your work:
There are many cases where clients automatically raise the prices of freelancers as per workload. But in most cases, you need to discuss it. If you want to raise your prices then make sure that the services you’re providing are making an impact.
For example, you can say that sir/madam, I need to discuss my payouts. I hope you don’t mind.
Now, wait for the answer or response. And write your next line accordingly.
For example, if the response is “Yes, please tell me”.
You can say,
I am working for the last 6 months at $12 per hour. It is a great experience to work with you. And I hope that I will keep working hard for you and on the project. But one thing that is making me uncomfortable these days, is my work prices. I have some extra responsibilities from my home that now I need to follow. So I was thinking to discuss it.
Now you can continue the conversion and get the results.
If the client is a superb leader then he/she will increase your prices. But along with that make sure you’re doing the following things:
1.) You’re providing high-quality work that clients need to be done.
2.) You’re on time, available, and communicate transparently with the client.
3.) Client understands the power of including you in their team.
4.) Clients depend on you and on your skills.
etc.
So the best policy that I was suggesting is that provides more value than clients demand. Be as grateful and amazing and be positive in a maximum situation in the project. Always, say I will try and I will do it.
And in this process, one thing that will help you is a mutual understanding, respectful behaviors and a professional relationship with the client. In my story, I was lucky with one of the clients that I never told to raise the prices. Might be I was wrong. But the client automatically told me that they will pay you a higher price from now and you need to work on such things. Even I have taken the advance money. And they paid for it.
And there are really good people, if you work for them and help to achieve their goals as per their plan then they will do almost everything for you.
But one thing that the client told me once, is that I do the things for those who deserve it. You’re the most paid freelancer in my team and you deserve it. That’s so much encouraging and helped me to feel secure about my financials. And in a result, I was able to produce more value for clients.
Related: Methods to become more confident in your IT career
2. Make sure you’re saving enough money:
Many times clients will do the cost/profit calculation on hiring you or hiring another person. And if they found that you’re too much costly now for them and you have less time then they will replace you with another freelancer. It happens. And it’s not bad for both.
If clients are unable to pay you then obviously they will hire others who cost in less price. But if you’re consistently upgrading your skills and benefits for clients from your skills, then they can’t ignore you. But you need to focus on the main work of the client, that help them to generate profit. And if you’re part of the profit-making process and generating it faster then you’re safe and secure. But even that it’s not enough.
Once you tell the client, about raising the prices. They will start looking for alternative options. They don’t tell you that. But they will tell you after a month or two.
So it’s always great to save money. And make sure that you’re doing it for a few months before you tell them to raise your prices. So that when they tell you, you will be safe financially and under less pressure.
3. Analysis of your work, is it helping clients to make a profit:
Keep analyzing your works with the competition. Keep ahead in the game most of the time. Remember, we as a freelancer do not have to focus on money before excellence. Everything comes on us on the time, just be passionate for excellence.
So in this process, always test and analyze the behaviors of clients on your work. Analyze when you submit the work, Do they appreciate it? Find out that you’re working for a good leader or just an overconfident and egoistic leader.
If you work for good clients then they will always consider you for everything more than others. And they will always tell you frankly that you’re doing mistakes in such things, and they will suggest to you everything.
When the connection between you and your clients is like a family member then you can communicate frankly about the prices. And most of the time you win.
4. Check out the discussion, when clients hired you:
If you’re really confused, then check out the discussion or remember what clients said you while hiring. If they told you to raise your freelance prices after a certain milestone or duration then remind them if they got forgotten.
5. Consistently Update your skills:
If you’re constantly updating your skills you will be more confident and in a good situation to raise the prices. Suggest to the client your extra skills or services such as you will be able to program for them, you will be able to handle the AI project, you will be able to integrate cloud solutions for them and in their business. Showcase your updated resume. Showcase and clarify again what you can do for them.
And tell them that you just need to raise my prices by 20% and I will handle everything.
Related: 10 ways to grow in your IT career professionally
6. Build another income source along with clients work:
To increase prices you need to be confident. You need confidence not only to tell it but also to handle the situation if they ignore your demands or stop giving you the work. In that situation, one thing that is helpful is the 2nd source of income.
It can be youtube channels, blogs, other clients, or any other assets. So when freelancing, be always prepared for surprises. But to grow in every situation you need to work extra, think extra, try extra than the rest of the others.
If you do it, you will be able to utilize your youthfulness that will be helpful later. Later can be after 30 years or tomorrow.
So always use your time to its best actions. And when you do it, you become confident and secure about your future. And it helps to innovate, expand, increase everything that you dreamed off.
Related: How Website Achieves Your Business Goals Faster
7. Raise your prices one by one for all the clients:
If you have 3 clients then try to tell them one by one. Consider the client’s situation. If client A is in a good situation or in a growing situation then ask them to raise the price. But if a client is struggling then help them to grow. So choose the client wisely to target for increasing prices.
8. Set the prices that are suitable for both:
Don’t’ just double or triple the prices. Increase the prices according to your demand and values. Always focus on your needs and understand the client. Don’t charge too much and too little. Just say to increase 20% after every 6 months or a year.
9. Innovate your products/services:
Nothing remains permanently. Everything change. And it changes for reasons. And one of the reasons is innovation. So you need to build the mindset to change and grow your services and solutions.
Innovation is important in business. And you need to think, how can the work that you do is possible to innovate. How can you do it faster to get more time for more clients? How can you do it at less cost so that you can get more clients? How you can automate the work so that you can build and make it a million-dollar company.
If you follow these types of methods, You don’t need to tell the client that increases your prices. Instead, you will tell them that I have developed or created certain things (plan, services, products), etc. are you interested in that?
Even they don’t agree.
No problem next time charge 30% higher rates for a new client. But make sure that it’s don’t cost too much for clients.
10. Wait for the right time:
Might be client said you that they will increase your freelance prices after 4 months. Might be there is another plan in the client’s mind for you. It can be a new business, new responsibility, and incentives.
If clients said that they are not able to increase the prices right now, but definitely if you work on this or if we get more leads then they will pay more to you. So just wait for that movement and work towards it.
Also, wait for the right time and season to say to raise the prices. For example, there are various products/services that are in high demand seasonally. So wait and tell the client to raise the prices when they most need you. But do it carefully.
etc.
So, friends, pricing is something that has to be a wise decision. Make sure that whatever you do, do it honestly, wisely, transparently. And be helpful for clients and help them to achieve their goals.
If you do that and are consistent in that then you will be able to achieve more than others as a freelancer. And you will be successful, have freedom and flexibility, and generate a wealth of dreams.