Captain’s log, stardate 20160920
Sent by Jonathan Stark on September 20th, 2016
Reader James Jeffers wrote in to share his wonderful success story:
Please feel free to use the following as a token of proof that what you are saying about value pricing, positioning, etc works.
Earlier this year, I decided to stop hourly billing. I landed the highest priced deal in my career earlier this year. This solved a lot of cash flow issues.
By the late summer, I had another opportunity for another development project. I emailed you before about how I tried to convince them to not hire me, tried to offer cheaper solutions (“Why not just hire an intern to handle this? Why do this now?” etc).
This is a follow-up for how things turned out.
A month or so later they came back, and their staff told me that the decision to hire me was “a done deal”. The sale price (which was again the largest in terms of price) never came up as an objection. The work will be pre-paid 100%. I just sent a statement of work to be signed this morning.
It’s amazing how much this makes sense, and how quickly you can make these changes to your business.
Thank you for all the wisdom and advice you’ve put out there. James Jeffers
Thanks for sharing with the group, JJ!
And congrats on successfully making the leap :)
P.S. Considering making the leap to value pricing? The first step is to recognize that hourly billing is nuts.