Communicating Your Value to Others

05 November 2018

Being in so many cake groups, I have the opportunity to see so many conversations about pricing!

I usually find that pricing falls into two categories:

  1. People who have no idea how to price and calculate their products or services, and then
  2. People who know how to price themselves but are too afraid to charge the right amount.

Knowing how to effectively communicate with your customers is a MUST for operating a successful business!

The deciding factor for most customers when spending money with a business isn’t always SKILL. Some times it's more about how the product is presented, or the perceived value that you've placed on the product. Basically, it boils down to how much value they believe a product to have.

What they believe they will receive from the product is actually called "perceived value".

Investopedia sites that "perceived value" is the worth or merits a customer ascribes to a product or service. It states that most times consumers are unaware of the factors involved in creating a product or providing service such as the actual or estimated costs of production or service.

So our job as mindful and responsible business owners is to make them aware of the value of the product without being rude or boring and directly explaining the production details...BUT just how exactly can that be done?

#2 Be Prepared to Talk

Do not get offended when people ask to know more about your desserts, or when they want to know what they are getting in exchange for the money they're spending. Believe it or not, your job is to be a salesperson. Therefore, you should have your pitch and selling points ready!

Not only will this help the conversation run smoother, but you will also appear polished and prepared. DO NOT take offense when people ask questions! Chances are if they follow you or have seen your work, they know what you do. A kind voice and a smile go a long way and sometimes your customer service will win them over. Remember, you can attract more bees with honey than vinegar.

#3 Know When to Walk Away

Educating is not bargaining! It is important to know that communicating your value does not equal bargaining. Your job is to answer, educate and observe.

Pay attention to the red flags! Once you have listed your features, pitched your product and offered your services with a smile, and they say that they "cant afford it"...come to terms with the fact that they may not be your customer. You are in business to make a PROFIT. I REPEAT, you are in business TO MAKE MONEY!

If at some point you are not making money, then you have to know it's not only ok to walk’s the right thing to do.

The most important person to communicate with is yourself. Know that you are worth it. Know that you are talented and you are fully capable of monetizing on your gift! Once you fully understand and walk in your amazing talent, you will not have a problem with walking away from others.

Need More Sweet Business Help?

There's more to growing a baking/sweets business than making a delicious & beautiful product. You also need to know how to design a profitable menu, win new clients, price appropriately, and cover yourself with a contract when something goes wrong. You won't learn everything overnight, but you definitely need to connect yourself with the right resources that will help you get there one step at a time.

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