Three weeks ago, I spent a few days wailing against hourly billing from various angles.

• ​A ‘reasonable’ hourly rate would be too high to pitch with a straight-face​
• ​Your clients don’t operate hourly, why should you​
• ​Hourly-based benchmarks are usually irrelevant and risky​

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In doing so, I may have skipped over the reason why new consultants default to hourly...

Because “it’s the easiest.”

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Sure, a “fair” hourly rate X a time estimate = my rate.

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Well, that might seem easiest, until:

• you get comped against an ugly hourly benchmark
• you overrun your agreed hour cap and start absorbing the cost
• you realize you’ve capped your total revenue potential because time isn’t unlimited

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So what instead? You’ve heard about project-based pricing, value-based, etc.

You might be wondering, do I need market research?

Should I ask prospects their willingness to pay?

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All told, there’s no magic calculator that I’ve seen that will solve pricing for you.

And in reality, your price is a moving target that you’re free to adjust as conditions change.

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But as guidance, over the next three days, I’ll share a 3-point Price Triangulation Mental Model, leveraging the insights from some amazing indie consulting minds, that will at least get you to a starting price for your service.

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A price that will meet your ambitious goals,

but also one you can feel confident asking for.

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Any ideas what the 3 points are?

You might be surprised what's not one of the three...

And feel free to forward this to anyone who might want to join the fun!

See you tomorrow :)

💡

-Wes