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Creating my first course was a project I’ll always remember—and literally never replicate. I’ve learned so much since then, with both course creation and online course pricing. In fact, I will never forget when I had my mentor at the time look over my course to offer feedback and constructive criticism.

He took one look at my course content, my sales page, and my course price, and he laughed. He laughed.

Then he told me to double the price.

Guy raises his eyebrows surprised he was told to double his online course pricing

^^ My reaction.

He told me I was bleeding value, and my students would never truly appreciate it at that price.

It’s kind of like when you get that free book from your friend or family, and it gets stuck in the corner. But when you pay for that book, it gets read.

And that goes for everything. Whether you put your skin in the game, or you force your customer to. That’s where the magic starts to happen. The higher the price, the better quality the customer too.

And the highest price, the highest quality.

Now, not all content is created equal. Literally, 99% of my content is free. (You’re welcome.) But when I want to invest in my students with content that’s attached to quality time (coaching calls) with me.

That’s when I make them invest. Because I know when they put their money where their mouth is, things start getting done.

And action gets the results they need for success.

teal and yellow graphic from addicted to marketing blog to learn online course pricing

Check out the episode below:

Pricing of services, especially when it comes to online course content, is an art all on its own. How much is your content worth? What price point will get the customers you’re looking for? How do you know how much value you’re providing?

Then, invariably, imposter syndrome sets in, and the questions get even worse. What if people already know everything I’m teaching? What if my course doesn’t help anybody? What if my students are angry and want refunds? What if I don’t actually know anything at all and everyone in the world is smarter than me?

Okay, just kidding, you won’t actually think any of that.

But I do completely sympathize with you on trying to determine what price point your course should actually be at.

Which is why I thought it was so important to cover this topic and help you price your own online course content.

So much of what is behind pricing your course has to do with psychology: people are always undervaluing and underpricing themselves, or they just don’t think they can sell something for high dollar amounts.

But the most important thing to remember is that the price of your course puts a huge weight on the perceived value of your course.

Look at it this way.

If you walk into a jewelry store and you see a table full of $10-50 pieces of jewelry, you’re probably going to assume it’s the kind of stuff that turns your skin green and you’re going to steer clear.

Obviously, your online course isn’t going to turn anyone’s skin green, but it’s the same logic. If you see a Pinterest course that’s free versus a Pinterest course that’s $497, you’re going to immediately understand that the paid course has much more valuable information than the free one.

The cheaper the course, the lower the perceived value of the course. The more expensive the course, the more your people are going to be like, “Wow, there’s probably some killer info in there that I need to get my hands on.”

Not only that, but when you have a more expensive course, you’re going to weed out the lower quality customers. People who aren’t actually going to implement what you’re teaching aren’t going to pay high dollar for your course.

When you charge premium pricing, people are investing in your content. They’re saving the money for it, or using the money they’ve had set aside, and they’re going to apply themselves. This means you’ll have students willing to put in the work to see results, and students that will give you testimonials and feedback you need to see success.

Take a look at these seven ways to increase the perceived value of your course:

teal graphic for a freebie to determine how to price your online course

So now that we’ve covered all of the psychologist jargon, let’s dive into how you actually go about pricing your course.

1. Feel confident about your price point.

I told you what my mentor told me at the beginning of this blog post.

And it’s the same thing I’m going to tell you now: Go double the price of your course right now.

The truth is that you’re probably way undervaluing yourself, and the price point you had in your head is way too low. You’ve worked hard on this course, and you deserve to make some serious money off of it.

But let’s look at the other end of the spectrum.

There’s pricing within your comfort zone, pricing a little bit outside of your comfort zone, and then there’s pricing a lot outside of your comfort zone.

1. You do not want to price inside of your comfort zone. That is 100% without a doubt too low of a price point.
2. You do not want to price so far outside of your comfort zone that you’re too terrified to even promote your course for fear of being laughed at or chastised for your audacity (not that that would happen, but I’m talking about real human fears here).
3. You do want to price just a little bit outside of your comfort zone. If you’re just a little bit anxious about your course price, you’ve found the right number.

Because once you start selling it and seeing your results, you’re going to feel a lot more confident about that price point.

2. Over deliver for your students.

One way to make sure you feel confident about your price point, even if it’s a little outside of your comfort zone, is to continuously over deliver for your students.

There are many different ways for you to do this.

– Underpromise the amount of value in your course during the sales process so that students are overly impressed while taking your course.
– Be incredibly present for your students while they’re going through your course, whether this is via email communication, in a Facebook group, or in a Slack channel.
– Offer a ton of additional value in your course bonuses.

Knowing that you’re providing a ton of additional value, even more so than you intended when creating your course, can help reassure you about your premium price point. When you know you’re giving something awesome to your customers, you want to sell it to them at what it’s worth.

After all, Leo Burnett said it best: “Help your customers and you help your business.”

3. Price for your ideal clientele.

Remember how I said higher price points get higher quality customers?

Let’s loop back around to that.

Think about what your end goal is in your business. What do you want your end goal to be, your core product, your big thing that’s going to make you a ton of money?

If you want to create and sell a bunch of different types of small ticket items like ebooks and mini-courses, then perhaps a lower price point is perfect for you. You’ll be targeting the people who want quick value at low cost.

However, if you want to create an elite membership or top tier coaching program where you’re going to be charging several thousand dollars each year for participation, you want to weed out the customers who won’t put more than $100 towards anything. They’re not your people.

So it’s important to think about where you want to go from here and who you want to work with. Price your course at the price point that those people are willing to pay.

4. Ask yourself these questions.

Finally, let’s ask a few things about your course and your business. That will help you determine the right price point for your online course.

What results are you promising?

If the results you’re promising are extreme, like creating a 7-figure funnel, you absolutely want to charge more. People are going to be making a million dollars off of these course lessons? That is worth a lot more than $100, or even $1,000.

If the end results aren’t as valuable to the customer, like using social media to make sales (still valuable, but you’re not promising a million bucks), you’ll want to keep a lower price point.

How long will it take students to achieve those results?

Your course price depends on how long it takes to go through the material and implement your teachings. You can charge a lot for instant success (dangerous to guarantee though), but you can also charge a lot for enough valuable content to take awhile to digest and implement.

How accessible will you be to your students?

If it’s an “instructor hands off” course, it comes with a lower price. If you’re going to be readily available to answer any questions your students may have, you’re essentially selling yourself as a coach in addition to course content.

You can also tier this to offer direct communication as a bonus course upgrade to offer two different price points.

Are you working directly with your students?

Are you teaching modules in real time like an actual course? If so, you need to charge based on the time you’re spending to do that. Live teachings are much more valuable and expensive than pre-recorded ones.

Is there a community aspect?

Having a Facebook group or Slack channel accompany your course is a great way to increase value. This way students are able to interact with each other, share results, and ask questions.

How many modules and lessons?

The more content in your course, the more it’s worth.

What bonuses are you offering?

Even if you’re only offering them for a limited time, the more bonuses, the more people will pay.

How long will it take to go through the content?

Longer courses can have more perceived value.

Will your students have lifetime or limited access? If limited, for how long?

Limited access can cause your students to get their butts in gear and start implementing your teachings immediately. However, allowing your students lifetime access to the course can increase its value because they can go back to it again and again.

What is your refund policy?

Are you offering a guarantee? How long do students have to come back to you and ask for a refund? Your refund policy has an effect on the price point of your course as well.

5. Take a look at the numbers.

Crunching some numbers and making some money goals can also help you find a good price point for your online course.

Look at how much you want to make this year from your business. What percentage of that income needs to come from this course? Get that number in your head.

Then think about the size of your audience. To gauge this estimate, just take a look at the number of people on your email list and use that number.

So you’ve got your audience size and your income goal for the year.

How much would your course need to cost if every single person on your email list bought it?

Now how much would your course need to cost if only 5% of your email list bought it?

Which price do you feel more comfortable with? Ditch that price, obviously, and go with a number closer to the price point that scares you a little.

Also, take a look at how your closest competitors are pricing their courses and content. That will give you a ballpark figure, and you can determine where to go from there.

Pinpointing your perfect online course pricing doesn’t have to be the hardest part of your course creation. Follow these tips to help you determine exactly where your course stands.

And download this free guide to increasing your course’s perceived value so you can also increase that price point:

teal graphic for a freebie to determine how to price your online course

 

GET MY 5 PROVEN STEPS

These are the EXACT same steps I used to 10x businesses just like yours and generate new customers on autopilot!

it's free!
100% privacy guaranteed, no messin' around!