1 00:00:00,090 --> 00:00:06,720 Lesson for this lesson is called understanding the price myth, and it will show you how to stop underselling 2 00:00:06,720 --> 00:00:09,090 yourself and start earning what you deserve. 3 00:00:09,810 --> 00:00:16,710 In freelancing, you need to understand the price myth before you can become a profitable freelancer. 4 00:00:17,460 --> 00:00:23,730 The price myth basically states that a company or a client will go with the freelancer with the cheapest 5 00:00:23,730 --> 00:00:24,420 services. 6 00:00:25,770 --> 00:00:31,710 However, this lesson is important because it's going to show you why that's not true. 7 00:00:32,250 --> 00:00:40,140 And once you understand the price myth that will help you start to be a more profitable freelancer right 8 00:00:40,140 --> 00:00:40,770 from the start. 9 00:00:41,250 --> 00:00:46,830 So the price myth is based on the fact that people buy products just on the price. 10 00:00:47,160 --> 00:00:49,800 And like I just said, that's simply not true. 11 00:00:50,160 --> 00:00:51,600 So look at this picture right here. 12 00:00:52,170 --> 00:00:57,450 This is a five star resort and ask yourself if you're going on vacation. 13 00:00:58,490 --> 00:01:01,490 Your next vacation, your next trip, whenever that may be. 14 00:01:02,270 --> 00:01:04,700 Would you rather stay somewhere like this? 15 00:01:07,230 --> 00:01:13,770 Or would you rather stay somewhere like the last up first stop that has the Loose Dog on the sidewalk? 16 00:01:14,010 --> 00:01:17,910 It has the white van and a couple of sketchy people standing around. 17 00:01:19,070 --> 00:01:23,720 This one may be half the price of not much less than that. 18 00:01:24,440 --> 00:01:30,950 But the reason you would rather stay at the other place is because of so many different reasons not 19 00:01:30,950 --> 00:01:32,120 related to price. 20 00:01:32,690 --> 00:01:37,940 You might say no one, while the first place looks safer and the quality of service is probably going 21 00:01:37,940 --> 00:01:39,200 to be much better there. 22 00:01:39,380 --> 00:01:45,500 And obviously, the value you get is going to be incredibly greater than if you stayed at this motel 23 00:01:45,500 --> 00:01:45,970 right here. 24 00:01:47,270 --> 00:01:54,890 So it's important to remember and to understand this as you go through this course, because you're 25 00:01:54,890 --> 00:02:01,310 going to come across clients that are talking about price and you're going to come across people that 26 00:02:01,310 --> 00:02:03,200 say price is the most important thing. 27 00:02:04,350 --> 00:02:11,400 But this lesson is going to show you how you can understand what the price myth is and how you can move 28 00:02:11,400 --> 00:02:14,970 past it to become the most profitable freelancer possible. 29 00:02:16,830 --> 00:02:24,450 So the first step is not underselling yourself, most freelancers think that clients make decisions 30 00:02:24,660 --> 00:02:27,810 just on price, but they really don't. 31 00:02:27,840 --> 00:02:33,750 They're looking for a good price, of course, but they're also looking to get a problem that they have 32 00:02:33,750 --> 00:02:36,090 solved and they're willing to pay for that. 33 00:02:36,510 --> 00:02:41,940 So if you can get good at the skill you're providing and you can solve problems that add value to the 34 00:02:41,940 --> 00:02:45,240 business, you're always going to be able to charge more. 35 00:02:46,210 --> 00:02:52,300 As long as you're not a commodity, which means the lowest price is the one who gets the job because 36 00:02:52,300 --> 00:02:55,570 the service you're providing is easily replicable. 37 00:02:56,600 --> 00:03:03,560 You need to focus on services that will help you charge more because of the value you're providing. 38 00:03:03,950 --> 00:03:08,990 So high ticket clients only hire freelancers that charge substantial rates. 39 00:03:09,650 --> 00:03:13,490 All the jobs I get, they're all looking for expert level work. 40 00:03:13,820 --> 00:03:16,550 And that's because they know that you get what you pay for. 41 00:03:17,120 --> 00:03:20,600 So I'm not saying, of course, to start off at expert level. 42 00:03:20,600 --> 00:03:24,530 If you're not an expert yet, you have to start small, you have to work your way up. 43 00:03:24,980 --> 00:03:30,680 But as you go through your journey, remember this myth and it will help you become more successful 44 00:03:30,680 --> 00:03:31,370 along the way. 45 00:03:32,550 --> 00:03:34,950 Next, there is no scarcity of money. 46 00:03:35,430 --> 00:03:40,770 This is also an important factor in understanding why the price myth isn't true. 47 00:03:41,880 --> 00:03:47,430 There is no shortage of money on this planet, and there's more than enough money to go around for every 48 00:03:47,430 --> 00:03:49,380 freelancer in the world. 49 00:03:49,980 --> 00:03:51,170 There's money everywhere. 50 00:03:51,180 --> 00:03:53,040 It's getting transacted all the time. 51 00:03:53,790 --> 00:04:01,500 You have to think about abundance, think about Upwork and freelancing as just an ocean of endless opportunity. 52 00:04:01,500 --> 00:04:08,550 And all you have to do is put in the actions, solve enough problems and you can become a profitable 53 00:04:08,550 --> 00:04:09,180 freelancer. 54 00:04:10,050 --> 00:04:14,880 Remember, you were in the people business no matter what you were doing, no matter what skill you're 55 00:04:14,880 --> 00:04:17,010 selling, it doesn't matter. 56 00:04:17,020 --> 00:04:19,290 You are working with other people. 57 00:04:19,530 --> 00:04:23,340 Selling is 80 percent people and only 20 percent product or service. 58 00:04:24,150 --> 00:04:27,840 People buy products that are inferior every single day. 59 00:04:28,750 --> 00:04:35,500 But they work with people that they trust and they work with people that help provide value for them. 60 00:04:36,560 --> 00:04:43,790 So be more interested in the buyer than you are with yourself, start to look at it and ask questions. 61 00:04:44,330 --> 00:04:49,880 This makes it very clear when you're talking with the client and you're communicating with them that 62 00:04:49,880 --> 00:04:55,910 you're not just in it for the money, you're also focusing on what you were going to provide for the 63 00:04:55,910 --> 00:04:56,300 client. 64 00:04:56,600 --> 00:05:03,080 Make the topic of conversation all about the value you are providing that will help you move past the 65 00:05:03,080 --> 00:05:09,290 price myth, and it will show the client or the potential client why you are charging what you are. 66 00:05:10,370 --> 00:05:11,030 Moving on. 67 00:05:11,300 --> 00:05:14,720 Always agree, first, always agree with the customer. 68 00:05:15,200 --> 00:05:22,190 No matter what, especially when price comes up, this is most likely going to come up on the majority 69 00:05:22,190 --> 00:05:26,330 of your deals, even with me every time I close a new client. 70 00:05:26,780 --> 00:05:31,400 Price and objections always come up because that is what people do. 71 00:05:31,910 --> 00:05:33,250 That is what you and I do. 72 00:05:33,260 --> 00:05:34,550 We look for sales. 73 00:05:34,550 --> 00:05:40,310 We look for where we can get discounts if possible, because that is our human nature, that is the 74 00:05:40,310 --> 00:05:41,450 society we are in. 75 00:05:42,050 --> 00:05:47,720 But once you are able to prove the amount of value you're giving is worth more than the price you're 76 00:05:47,720 --> 00:05:48,230 charging. 77 00:05:48,650 --> 00:05:52,430 That's when the client is going to ease up and give you that opportunity. 78 00:05:52,790 --> 00:05:55,130 But that's only if you agree with them first. 79 00:05:55,940 --> 00:06:01,100 If you don't let them know that you understand where they're coming from and you immediately just go 80 00:06:01,100 --> 00:06:05,960 into defending yourself, that is going to turn the client off and you're going to lose that potential 81 00:06:05,960 --> 00:06:06,650 opportunity. 82 00:06:06,920 --> 00:06:08,750 So put your ego aside for a little bit. 83 00:06:08,990 --> 00:06:11,120 Agree with the client and tell them. 84 00:06:11,510 --> 00:06:13,760 Let me show you why. 85 00:06:14,830 --> 00:06:20,380 I charge what I do and remember you can use all of the different things I'm going to show you in the 86 00:06:20,380 --> 00:06:25,720 objection section later on in this course to handle those specific objections as they come in. 87 00:06:26,960 --> 00:06:29,690 People pay to have their problems solved. 88 00:06:30,440 --> 00:06:36,170 So if you want a bigger paycheck, all you have to do is just have a bigger positive attitude and go 89 00:06:36,170 --> 00:06:42,530 out there and solve more problems, find the business owners that are already looking for help. 90 00:06:42,950 --> 00:06:48,560 That is why this course is going to help you get on track and get off the ground quicker than you ever 91 00:06:48,560 --> 00:06:49,670 thought imaginable. 92 00:06:49,940 --> 00:06:57,020 Because this is showing you where the people that have problems are posting jobs don't be negative. 93 00:06:57,590 --> 00:07:00,410 Don't focus on things that are distracting you. 94 00:07:00,980 --> 00:07:01,950 Stay focused. 95 00:07:02,000 --> 00:07:07,400 Keep your circle of focus tight and make sure you're focusing on finding people that need to have their 96 00:07:07,400 --> 00:07:08,180 problems solved. 97 00:07:08,390 --> 00:07:11,480 That's when the money will follow next. 98 00:07:11,600 --> 00:07:13,220 Selling is the act of giving. 99 00:07:13,970 --> 00:07:21,140 So another reason people object to the price is because people and freelancers are victim to this a 100 00:07:21,140 --> 00:07:21,480 lot. 101 00:07:21,980 --> 00:07:25,760 They don't always remember where the client is coming from. 102 00:07:25,940 --> 00:07:33,740 They don't always understand that it's about providing as much service as possible, putting the full 103 00:07:33,740 --> 00:07:39,170 attention on the client and just providing all of this value before they've paid you anything. 104 00:07:39,830 --> 00:07:44,570 That is what's going to show the client that you're willing to go above and beyond and that you're paying 105 00:07:44,570 --> 00:07:50,660 so much attention to them that they feel like they're your only client or they're your only potential 106 00:07:50,660 --> 00:07:52,010 client that you're speaking to. 107 00:07:53,060 --> 00:07:54,200 So how do you do this? 108 00:07:54,230 --> 00:08:01,370 Just give full attention to whoever you were speaking to and make sure you're focusing on giving give 109 00:08:01,370 --> 00:08:02,580 them different options. 110 00:08:02,600 --> 00:08:04,010 Show them urgency. 111 00:08:04,430 --> 00:08:06,530 Nothing can replace poor service. 112 00:08:06,530 --> 00:08:08,060 People always will remember this. 113 00:08:08,390 --> 00:08:11,750 And that's when the majority of people go online to leave reviews anyway. 114 00:08:12,470 --> 00:08:17,480 It's because of something bad that happened that sticks out in people's heads more than the good things. 115 00:08:18,020 --> 00:08:25,520 So remember, you need to do even more than you think to provide for the client and show them that the 116 00:08:25,520 --> 00:08:27,170 price you're charging is worth it. 117 00:08:27,500 --> 00:08:30,650 And that's another way to get over the price myth and to understand the price myth. 118 00:08:32,990 --> 00:08:39,650 Next, understanding there's always room for expert level work whenever skill you're working on. 119 00:08:39,950 --> 00:08:47,270 If there's people hiring for low paying jobs, there's also going to be the other side of the spectrum. 120 00:08:47,570 --> 00:08:54,260 High ticket clients that are paying for expert level work so you can always start at the bottom and 121 00:08:54,260 --> 00:09:00,200 learn these skills and get hands on experience with smaller jobs and then use all of that knowledge 122 00:09:00,200 --> 00:09:06,740 that you learned and then close much bigger deals with it as long as you remember the price myth. 123 00:09:07,040 --> 00:09:12,590 Because once you have those skills and you develop them and you have reviews to show for them, that's 124 00:09:12,590 --> 00:09:14,090 when you can package that together. 125 00:09:14,390 --> 00:09:19,100 Go to a bigger client and really secure a long term relationship with them. 126 00:09:19,670 --> 00:09:25,400 Always remember there's room for expert level work in every skill set, and that is ultimately where 127 00:09:25,400 --> 00:09:28,040 you were going to become a profitable freelancer. 128 00:09:28,700 --> 00:09:29,330 Lastly. 129 00:09:30,670 --> 00:09:35,830 Price is usually the bottom of the list when it comes to what the client is looking for. 130 00:09:36,430 --> 00:09:42,760 Of course, clients always have some budget in mind, but they're on the platform, they're on Upwork, 131 00:09:42,760 --> 00:09:48,010 they're on these freelancing websites to get a problem that they have solved, whether that they need 132 00:09:48,010 --> 00:09:53,500 more sales for their company, they need a website built, they need email marketing campaigns and copywriting 133 00:09:53,500 --> 00:09:54,040 completed. 134 00:09:54,730 --> 00:09:58,330 The moral is they're not on there just to spend money. 135 00:09:58,330 --> 00:10:00,400 They're on there to have a problem solved. 136 00:10:01,230 --> 00:10:07,650 So always remind yourself this as you're speaking to clients, as price objections come up and remember 137 00:10:08,550 --> 00:10:12,960 making the decision to just provide and go above and beyond for the client. 138 00:10:13,980 --> 00:10:20,460 We'll show them that price is also the last concern on your list, and once you both have that agreement 139 00:10:20,460 --> 00:10:25,980 and that understanding that mutual understanding that you're both in this for the long term relationship 140 00:10:25,980 --> 00:10:30,600 and you're both in this to provide value for each other, that's when you can really start becoming 141 00:10:30,600 --> 00:10:37,590 the most profitable freelancer you can and earning your full potential because too many freelancers 142 00:10:37,890 --> 00:10:41,100 are letting the price myth hold them back and weigh them down. 143 00:10:42,580 --> 00:10:50,080 So if you still don't believe that price is just a myth, then why do some people charge this like Claudia 144 00:10:50,080 --> 00:10:50,530 right here? 145 00:10:50,980 --> 00:10:52,930 She's charging five fifty six an hour. 146 00:10:53,230 --> 00:10:57,070 She's earned over $60000 on the platform, which is impressive. 147 00:10:57,520 --> 00:11:04,090 She also has a 97 percent job success rating, so it doesn't mean that Claudia is not a good freelancer. 148 00:11:04,960 --> 00:11:08,230 However, what's the difference between someone that charges this? 149 00:11:09,290 --> 00:11:17,420 And someone like Camille here that's charging 197 an hour has secured 400000 on the platform and has 150 00:11:17,420 --> 00:11:19,070 a 100 percent job success score. 151 00:11:20,440 --> 00:11:28,570 Well, the difference lies in understanding the price myth, because the value that Camille is providing 152 00:11:29,110 --> 00:11:32,290 is substantially greater than what Claudio was. 153 00:11:32,830 --> 00:11:35,450 It doesn't mean that one is better than the other. 154 00:11:35,650 --> 00:11:41,050 It just means the level of value they're providing clients and companies is massively different. 155 00:11:42,310 --> 00:11:48,430 If Claudia over here wanted to start charging more, she would first have to understand the price myth. 156 00:11:48,820 --> 00:11:53,110 So remember, everything I'm teaching you is based on my personal journey. 157 00:11:53,380 --> 00:11:59,080 I'm here to save you time and these are all the key success factors that go into being a profitable 158 00:11:59,080 --> 00:11:59,710 freelancer. 159 00:11:59,950 --> 00:12:04,030 So remember this when you're starting out and as you progress through your journey? 160 00:12:04,960 --> 00:12:07,480 You need to focus on the value you're providing. 161 00:12:07,810 --> 00:12:11,020 Price is the last concern on a buyer's mind. 162 00:12:11,680 --> 00:12:17,170 So now you understand the price myth and you know ways to not let it hold you down anymore.