How To Price Your ServicesOct 23, 2023
A discussion around pricing mindset is necessary before we mention any dollar amounts:
If you think your offer is “expensive,” guess who will also think your offer is expensive?
This will make it far more difficult for you to present your price point with confidence and conviction and ultimately result in you making fewer sales… not a good thing.
Remember, you aren’t selling Physical Therapy, you’re selling a journey back to whatever activity injury is preventing that client from achieving. You’re selling confidence, and ultimately, you’re selling FREEDOM! Because of this, you MUST believe in your price.
But that can be hard… and in reality, you might even need to become a different type of buyer yourself… This is what worked really well for me, as back in the day, a lot of my habits and beliefs were very limiting when it came to selling.
If you consider yourself a conservative buyer, start pushing your own envelope of decision-making. Do you constantly need to “think it over,” – “Go through your process,” - “list out all the pros and cons”?
Or do you want to become the buyer who sees value in the offer and doesn’t want any more downtime to come between now and the result?
It’s time to start auditing the value things get you vs the price they cost.
Now this doesn’t happen by accident, it’s a skill, and likely a skill you need to develop! But just like how you didn't know how to be a Physical Therapist at one time, you can learn.
“But Ray, I want to have my prices lower so I can help more people who can’t afford it.”
And that’s very kind of you, but it doesn’t work that way…
The reality is underserved communities you say you want to help can’t afford your services if they are $100 or $300/session….
So if you really want to give back to your community like you say you do, find those who can pay a premium and then structure your offer – maybe even as a value proposition – so you can donate back to your community. You won’t be able to do this by charging $100/session, but you will if you can charge $300/session.
Now if you wanted to, you could donate $100 per client and still make double your initial rate.
The faster you understand this, the quicker you'll be able to help yourself
Now you might be asking, “How do I actually create a pricing structure?”
Pricing is about balancing comfort and discomfort – meaning you need to be confident and comfortable saying it, but it should also scare you a little. This is how growth happens.
Some goals to work towards for what we see in the market as industry standards are:
- $200/session for PT/Chiro
- $90/session for training
This might not happen immediately, but your confidence will grow, and you can get there.
Now if those numbers above are the average, we have to understand the range.
In general, we make sure our clients are no lower than the following (and typically, this rate is only accessible with a package purchase):
- $150/session for PT/Chiro
- $70/session for Personal Training
One pricing tactic we recommend is using an Assessment or Evaluation as the initial steppingstone to the customer journey. It allows us to build rapport, collect some meaningful data, and help build the gap with some quantitative data that shows how we are going to do all the things we say to get the client to their goal.
For this reason, we recommend your Assessment/Evaluation feels different than a traditional session. Maybe a little more time spent, and definitely a different price point.
Let’s use the $200 session rate as a midpoint anchor. This would mean we want our initial step to be MORE than each subsequent step.
For PT/Chiro, we would range $225-249 for a 75-minute Evaluation
For Personal Training, we would range $100-125 for a 60-75 min assessment
- There will be less medical complexity here, so the time may not need to increase, just the intent of the session changes
Now all you need to do is steal this sample structure:
- Evaluation = $249
- Follow-up = $200 single session
- Package = $150/per session if paid in full (for 10 session commitment)
Don’t over complicate things… go implement this and get to work!
Interested in learning how to apply this to your clients?