As a life coach, you want to make an impact in the lives of your clients, and at the same time, earn a good living. One of the key factors in running a successful coaching business is increasing your revenue. But with so many ways to do that, which one should you choose?
In this blog post, we’ll explore the four main ways to increase your revenue, and the associated costs, so you can make an informed decision.
Increase the number of clients you serve
The first and most obvious way to increase your revenue is to serve more clients. However, with more clients comes more work, and more time spent on marketing to attract them. You’ll need to ensure you have the capacity to serve additional clients, and that you’re not sacrificing the quality of your service for quantity.
Add additional products or services to sell to each client
Another way to increase revenue is to add additional products or services to sell to each client. This could be in the form of group coaching, workshops, or online courses. However, adding additional products or services takes additional time to create and operate, and it adds a level of complexity to the business.
Increase the frequency that you work with your clients
Increasing the frequency that you work with your clients can also lead to increased revenue. However, this requires more of your time and may lower the overall value the client receives from each session. You’ll need to test this out and adjust based on the feedback of your clients.
Increase the price of your services
Lastly, you can increase your revenue by increasing the price of your services. However, increasing your prices decreases the retained value that your clients receive, which can lower your overall sales and make clients less likely to refer you.
So, which way is best for you to increase your revenue? Here’s a revenue increase strategy you can use:
- Determine your capacity
The first step is to determine how many clients you can work within a given amount of time. This will ensure that you’re not sacrificing the quality of your service for quantity.
- Decide your preferred service frequency
Decide whether you prefer to work with fewer clients more often, or more clients less often. You’ll need to test this out and adjust based on the feedback of your clients.
- Increase demand
Once you know your capacity and preferred service frequency, turn on the marketing faucet to ensure you have more demand for your service than capacity to deliver it.
- Raise your prices
Use price increases to lower some of the increased demand while still maintaining capacity. If demand drops below the ability to reach capacity, go back to step 3.
- Add products or services
When you’ve reached a pricing threshold that maintains demand and capacity, creates additional opportunities for clients to work with you.
By following the revenue increase strategy outlined above, you can make informed decisions about how to grow your business and increase your revenue while maintaining the quality of your service.