How Do You Define Value?
I just returned from doing a program for NSA-New England in Boston. What a terrific group! One of the questions posed was “How do you define value?” I had just said to the group that if a prospect doesn’t have your fee use these words…
“If I could do that, what else of value might you be able to offer me?”
Then I suggest you not say a word. Let silence reign if necessary! Wait. Wait to see what your prospect has to say. If the silence is long, expect the prospect to say “What do you want?” Then be ready with an answer!
Value to each of us can be different. You have to define it for yourself. It has much to do with what you may need in your business at the time. Here is a list of what I think may be “value”.
- Referrals. Perhaps it’s having the client offer to make three or four calls on your behalf to contacts they think can use what you do, and have your fee.
- A full paid speech … later. They must commit to booking you for a full paying engagement within a year of the date of the speech you are doing now. (Get it in writing!)
- Recording. Either a video or audio or both! Great video is a plus for promotional purposes, but also may be a product! Same thing with audio. I think live audio makes a terrific product. I like it better than “in studio” recorded product. Don’t worry about flubs, people know it’s live and are very forgiving of any flubs.
- Barter. Maybe this company produces something you could use. Think of it as a trade. I’m not a lawyer so I feel compelled to say consult your tax advisor on this one!
- Product, product, product! Can the client purchase some of your products? Books, tapes, whatever. Product can also be used as a way to shore up fee as well. If you don’t have product yet in your business, get it!
Those are some of my thoughts regarding value. Do you have other ideas? I’d love to hear them!
—
Copyright 2012, Lois Creamer. Lois Creamer works with professional speakers who want to book more business, make more money and avoid costly mistakes! She can be reached in the following ways:
Lois@BookMoreBusiness.com
Twitter: @loiscreamer
Facebook: http://www.facebook.com/loiscreamer
LinkedIn: http://www.linkedin.com/loiscreamer
For more information on Lois’ business check out http://www.bookmorebusiness.com as well as http://www.bookmorebusiness.tv!
10 Responses to “How Do You Define Value?”
Got something to say?
Excellent advice! I keep forgetting the power of silence in a negotiation. (As a speaker, maybe I’m just too anxious to fill the void! ) I have several of the items on your list at the ready in such situations, but I suspect I’d get a much better deal in many cases if I just wait for them to make an offer first.
Thanks for that, Lois! Hope this Friday evening is peaceful for you! Diane
Lois,
Well done!
Useful coaching.
Thank you.
a great day,
Tom
Tom Marcoux
America’s Communication Coach
Author of 12 books on Amazon.com (free chapters at http://amzn.to/LrlOjj )
Tom’s blog: http://www.BeHeardandBeTrusted.com
Thanks Tom! I think we don’t think enough of asking for additional value when others ask us to give up something!
Lois,
This is a useful post and a great list of creative ways to make a discounted event a win-win. Even so, there are times when the fee is the fee.
I recall speaking with a leading customer service author/consultant in the mid-1990s while I was working in NYC as a director of training. He had just released a new book and was due to be in NYC for a book signing. I phoned him and proposed a win-win: “You’re here in NYC anyway for your book signing, why not speak to my managers at a discounted fee while you’re in town?”
He refused to discount his fee. Initially, I felt he was being unreasonable and proposing a win-lose. But after listening to his explanation, I reconsidered my reaction and agreed to hire him to speak at his full fee.
He said, “Steve, I have this one customer service message to offer. If I discount it now, there will be no incentive for you to consider paying full price for it in the future. That opportunity for me is gone forever.” (Of course, per your suggestion, if you’re able to get a commitment for a full fee engagement in writing before agreeing to a discounted event, then you can work around this. Although, in my experience, this sort of arrangement is a rare exception.)
Even today, his example reinforces my confidence in the value I am offering clients during fee conversations and helps me to maintain fee integrity.
Thank you for sharing!
Steve
Lois: Great ideas, as always! I just had a conversation with someone this morning and, coming back fresh from the NSA Convention, I had a new conviction and lilt to my voice when asking her to brainstorm with me about ways to close the gap between their offer and my fee.
With some other speaking engagement clients I’ve had color ads in their professional journals and affiliate membership fees paid for as compensation. The latter gave me access to their world and to their members.
Thanks for all your great support!
Vickie
Thanks for your kind words and for sharing your feedback Vickie! One of the great things about NSA is that it does give you confidence to step out and step up in your business. Compensation is a tricky thing. It’s the thing most speakers hate to talk about, but talk about it we must. I’m glad you got some great ideas on value from my post!
More great advice! I really need to work on that “now shut up” part.
One thing I’ve done with chambers of commerce is to get their full membership list, with full contact information. And make sure that my full contact information is listed in their program for the event.
I agree that “value” is unique to each individual. But I love your suggestions, especially referrals and recordings.
Thanks.
Thanks so much for your feedback. I think you picked the two best of the bunch! Come back often!