Golden Retrievers, the Need for Approval, and Pricing
The need for approval is hardwired in all of us as humans. You might call it a “golden retriever tendency,” and unless we’re always aware of it, it can get mixed up–to our detriment–with how we approach pricing and the clients we accept. The Price and Value Journey is presented by John Ray and produced by the North Fulton studio of Business RadioX®.
TRANSCRIPT
John Ray: [00:00:00] And hello again, everyone. I’m John Ray on The Price and Value Journey. My wife and I have a Golden Retriever who is in constant need of chest rubs. Yes, chest rubs. I’m convinced he’s got an alarm clock in his head, which measures intervals between pettings because he’ll appear seemingly out of nowhere ready for his fix.
John Ray: [00:00:24] I won’t even get into the Dachshund in our home who has an advanced case of separation anxiety. We’ve got a cat, on the other hand, who, while happy to be part of the tribe, is quick to go her own way. She’s okay to be petted and she likes to play, but only on her terms and in her good time. She receives enough contact from us to be a satisfied cat.
John Ray: [00:00:50] If you’re a professional services provider, one of your most vulnerable acts is to price your services. There are moments like when you slide that proposal across the table that it feels like you’ve got a price tag right on your forehead. Will this person with the shopping cart stop, pick you up, and take you home? Or will they just leave you laying there?
John Ray: [00:01:16] The need for approval is hardwired in us humans. We are all seeking validation for who we are and what we do. As professional services providers, we often let that need for approval overpower our good sense when it comes to pricing and the clients we take on. We’ll take on clients at a low price because the subconscious need we have to scratch the itch of affirmation can be overwhelming.
John Ray: [00:01:45] To be successful in professional services, you must become comfortable with the idea that you’re not the best fit for everyone who comes your way. You must almost thrive on a certain number of rejections because, you know, if you’re communicating your value well, that those rejections are a sign that your pricing is where it should be.
John Ray: [00:02:09] You must internalize the idea that sending a poor fit client on to someone else is better both for that client and for you. Their needs will be better handled by someone else, and you won’t have a piece of business which will exasperate you in time. You must be self-aware enough to know when your hardwired need for affirmation is getting in the way of running a successful practice.
John Ray: [00:02:36] If our Golden Retriever was a professional services provider with his own firm, he’d price his services so that none of his proposals ever got rejected. He’d have a lot of clients and would carry an aura of success, but he’d be pricing too low, working too hard for too little money, and probably wouldn’t even know it. If he did understand what he was doing, he would still be happy because his need for affirmation would be fulfilled.
John Ray: [00:03:04] Our cat, on the other hand, wouldn’t have as many clients. The clients she did have, however, would be great fits for her service capabilities. They’d be paying fees which reflect the value she delivers, and all concerned would be content. In practice, we’d all rather be the cat, right? But to get there, we must be cognizant of our innate Golden Retriever tendencies which constrain our professional services practice.
John Ray: [00:03:37] I’m John Ray on The Price and Value Journey. If you’d like to know more, go to johnray.co. Or get in touch with me directly, john@johnray.co.
About The Price and Value Journey
The title of this show describes the journey all professional services providers are on: building a services practice by seeking to convince the world of the value we offer, helping clients achieve the outcomes they desire, and trying to do all that at pricing which reflects the value we deliver.
If you feel like you’re working too hard for too little money in your solo or small firm practice, this show is for you. Even if you’re reasonably happy with your practice, you’ll hear ways to improve both your bottom line as well as the mindset you bring to your business.
The show is produced by the North Fulton studio of Business RadioX® and can be found on all the major podcast apps. The complete show archive is here.
John Ray, Host of The Price and Value Journey
John Ray is the host of The Price and Value Journey.
John owns Ray Business Advisors, a business advisory practice. John’s services include advising solopreneur and small professional services firms on their pricing. John is passionate about the power of pricing for business owners, as changing pricing is the fastest way to change the profitability of a business. His clients are professionals who are selling their “grey matter,” such as attorneys, CPAs, accountants and bookkeepers, consultants, marketing professionals, and other professional services practitioners.
In his other business, John is a Studio Owner, Producer, and Show Host with Business RadioX®, and works with business owners who want to do their own podcast. As a veteran B2B services provider, John’s special sauce is coaching B2B professionals to use a podcast to build relationships in a non-salesy way which translate into revenue.
John is the host of North Fulton Business Radio, Minneapolis-St. Paul Business Radio, Nashville Business Radio, Alpharetta Tech Talk, and Business Leaders Radio. house shows which feature a wide range of business leaders and companies. John has hosted and/or produced over 1,100 podcast episodes.
