How Much Is Your Work Truly Worth?

Lesson 2

Value-Based Pricing is based on real world factors and numbers.

It’s pure math. There’s zero guesswork involved.

  • If you’re guessing, you’re not using Value-Based Pricing.
  • If you’re not confident, you’re not using Value-Based Pricing.
  • If you’re not using real, monetary figures provided by your client, you’re not using Value-Based Pricing.

A value-based price is derived by math using the value of the project to the client.

The price you quote is always a fraction of the value to the client.

If you don’t know how to determine the value accurately, you cannot calculate the price.

Inside Value-Based Pricing, we show you exactly how to conduct a thorough value discovery process.

Value-Based Pricing is a roadmap that provides step-by-step guidance on how to quantifiably discover value so you can accurately quote a price that is 100% fair to the client and also ensures you are paid well.

Calculate a No-Brainer Price Easily

We’ve spent the past two years refining Value-Based Pricing and developing three custom tools to do the calculations for you.

These tools work in conjunction to help you calculate a price that is a mathematical no-brainer business decision to your client.


Value Doesn’t Exist in a Vacuum

No client wants tasks done, they want goals accomplished.

Remember this, because any work you do in isolation will be work that is undervalued.

Your client has goals they want to accomplish. They may not tell you those goals at the beginning. It’s up to you to talk to your client about their goals.

Your client knows how much they value reaching their goals. You do not know and you cannot figure out the value of your work on your own. You need to get your client to tell you how much they value what you can do for them.

You cannot define the value of your work to your clients.

Your client alone defines the value.

Many people confuse how much they value their own work with how much a client should value it. Those two things have nothing to do with each other.

How much you value your own work has no bearing on Value-Based Pricing. The only thing that matters is how much your clients value accomplishing their goals by leveraging your work. That is something they have to define without interference from you.

Value-Based Pricing works because you discover the value and then you charge a fraction of the value.

Your client gets the value, you get your cut for making it happen. Everybody wins.


The Client Defines the Value, You Simply Uncover It by Asking Questions


You never influence the value or convince the client of value. You are only to ask questions and listen.

If you influence the value determination, everything else falls apart. You cannot be sure the value is correct if you do this.

The whole process breaks down if the value determination is not accurate.

Why can’t you define the value?

Because to define the value of your work, you would need to literally be your client.

You would need to know everything about them, everything about their situation, everything about their business, and everything about their industry. You can and will learn a small fraction of this during the value discovery process—and it will help you do better work—but you can never know enough to even begin to define the amount of value your work can bring them on your own.

Uncover & Discover the Value (Never Influence It)

If you influence the value, it ceases to be accurate, which has a detrimental effect throughout the project and beyond.

  • If the value determination is too low, your work will be artificially limited (and you will undercharge).
  • If the value is too high, you’re going to overcharge and your client is not going to be happy when they realize it (and they will at some point).

Value-Based Pricing is founded on an accurate value determination made 100% by the client.

Value is subjective, situational, and the definition of it is entirely out of your hands.

An entire module of Value-Based Pricing is dedicated to covering the steps you need to take to discover that value.

If you’re wondering whether Value-Based Pricing could possibly work for you, in your situation and industry, that’s what we talk about in the next lesson: Can Value-Based Pricing Work for You?