Note: Appendix E contains an example of a Client Business Review Checklist in Visual Studio .NET

Printer ANSI/AIM Code 128 in Visual Studio .NET Note: Appendix E contains an example of a Client Business Review Checklist
Note: Appendix E contains an example of a Client Business Review Checklist
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Market Pricing Based On Value
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ricing is one of the four Ps of marketing and is one that few professionals use Accounting and law firm marketing has improved over the past 20 years in three of the Ps of marketing (place, product, and promotion) But pricing is still being done using cost-accounting techniques
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Limits of Hourly Billing
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Most clients hate hourly billing and will be very willing to alter the way they work with you Ron Baker s book The Professional s Guide to Value Pricing is one of the more intelligent and informative books on the subject His is a foundational book, one that comes along at an important time: a time when people are looking for a new direction, when paradigms are shifting Some of your clients are quite willing to pay you more than your are receiving from them, but you are failing to maximize your profits For example, there are people who choose to drive luxury cars, when more affordable transportation is available These same types of clients would pay you more if you designed a pricing system to capture what they are willing to pay for your results
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Commissions and contingent fees will become the norm within the next 20 years But, there are alternatives to commissions and contingent fees To obtain higher pricing, you must focus more on providing value that clients want The profitability to you and your client
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101 Marketing Strategies
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of various pricing methods will help you focus your attention on achieving both Using a fixed-price agreement combined with a change order system is one method we can all use to improve our pricing Spelling out what you will and won t do for your fixed price is the essence of a fixed-price agreement Items not covered in the agreement are changes, just as your builder does with your home as it progresses
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Conclusion
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If you bill by the hour, to make more money you have to work longer hours If you bill by value delivered, you have the chance to make more income, and focus on client satisfaction For instance, one firm specializes in Starker exchanges of real estate (People avoid taxes by trading one investment property for another, without having to make the trade themselves) Fees for changing a $1,000,000 taxable event into a tax-free transaction are based on the expertise involved, not on the hours
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Cycle Selling with Clients and Prospects
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f you are like most attorneys, consultants, and accountants, many of your clients utilize only a few of your services Too often, a client engages another professional to perform services
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that you could provide Cross-selling is when you sell a new service to an existing client Cycle selling does this in a more complete and systematic way that can become an automatic way of increasing your business In a Weber State University study of why clients switched CPAs, the number one reason given for switching was that the CPA was not proactive in delivering services You can be proactive in delivering services if you will adopt the cycle selling method
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Let Clients Know What You Offer
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You know that selling to existing clients is far easier and more profitable than developing a new client To ensure that you are providing all the services possible, take advantage of cycle selling For each client, maintain a listing of all your services, perhaps in the front of a permanent file Then, over a period of two to five years, present each service to your client Keep notes of your actual conversations with the client and what resulted from your exchange This cycle selling concept is not a one-time only proposition; you should keep updating your list of services, and keep reviewing your capabilities with your clients year after year Your bottom-line strategy is to make sure that all your clients are aware of all your service capabilities
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