How To Make Profit In Your Business As A Female Entrepreneur
Bonus: Join My Free Community To Make 40k Revenue & Profit In Your Small Business
This blog post is for female small business owners who want to make more revenue and profit in their online businesses.
There’s a real fear that many women in business have, about charging enough for their products and services to be able to make a decent living doing what they love.
There’s a sense that if you don’t show up and compete on price, you won’t make sales.
That’s far from the reality.
It is not only ok to charge enough for your products and services to make those products financially viable, it is essential that you do so, and that you don’t undermine the quality and effectiveness of your products by pricing them too low.
Let’s take a look at this more closely.
You have to have faith in the products that you sell, and to create enough profit in those products that your business can survive for the longer term.
If your products are great quality and they provide solutions to your audience in a way that is more effective than your competitors, the right people will find you, and the right people will buy from you.
If you choose fear around your pricing strategy, and you let that define the prices you charge, you’ll find yourself working more hours to achieve the levels of revenue you need, and even then the profit margins will be too low to make your business viable, or to be able to pay yourself a decent wage.
Here’s an example of different pricing strategies:
Over on Etsy I can find rainbow crochet hair scrunchies selling for between £3.50 and £17.00.
Meanwhile Miu Miu has a rainbow crochet hair scrunchie that they sell for £290.
Now argument would have it that all of those hair scrunchies do the same thing – they enable you to tie your hair back with a brightly coloured scrunchie. So there’s not a massive difference with the SOLUTION the product offers.
Miu Miu have a little badge on their hair scrunchie giving it the finished ‘designer’ look. the £3.50 hair scrunchie did not look the same quality as the Miu Miu one, but the £17.00 hair scrunchie on Etsy did.
The vast difference in prices shows how one business values what they are selling over the others.
Miu Miu are not interested in competing on price, they are selling to an audience willing to pay £290 for a crochet hair scrunchie because they want the ‘designer’ label.
I would suggest the business selling the scrunchie for £3.50 is competing on price.
The small business owner selling a £3.50 scrunchie would have to make and sell 82 units for every one unit that Miu Miu sells.
I would say it would be incredibly difficult for that business owner to sustain that level of creating handmade scrunchies. Even if they could they are unlikely to make any level of life changing profit in their small business.
Reason would suggest that if ANYONE could compete on price it would be Miu Miu – a large brand with the ability to mass produce.
The small business owner selling at £3.50 per unit is likely relying purely on themselves. That’s an almost impossible business model to make work.
You will ALWAYS find an ocean of people willing to charge peanuts for their products and services, just to get the sales, and get the products out the door.
That doesn’t mean you have to join them, or feel the need to compete.
Those cheap sellers will never achieve a successful, revenue earning, profit making, life changing business.
It takes courage to charge what you need to charge to make decent profit in your business.
It takes self belief.
It takes being able to ignore people who say “I can get it cheaper at…… “.
Let those people go – remember they’re not your ideal customer/client.
When you take account of the costs of creating your products or services including time, materials, marketing costs, packaging etc., you SHOULD be able to add enough profit on top of those costs, to make selling the product worth your while.
If you cannot do this – what’s the point?
If you’re not making enough profit on top of your costs for every product or service you sell – you’re effectively giving your goods and your time away for free.
You should take time to regularly review your prices.
Take stock and check you’re making profit on everything.
It will never serve your business well to compete on price.
Instead, compete on quality of service, commitment to your customers, the insane value you give compared to your competitors, in ways that aren’t associated with cost.
Work hard to be the best business doing what you’re doing in your niche – and then charge people for the privilege of being part of the amazing business and service you offer.
Stop running your business with fear based pricing.
Review and change your prices, and become bolder about charging what you need to, to make your business profitable.
You can ALWAYS charge more.
This is your business, your life.
You can charge more, and test the waters.
There will ALWAYS be a willing audience out there ready to pay top dollar to have a piece of what you do, if what you do is good enough, and solves a big enough problem for them.
You don’t have to show up and try to serve the masses by selling cheap. That will never make a good business model.
I teach about a great business model that helps you earn consistent 40k levels in revenue inside my 40k Club. It might be worth you being there. It’s free to join.
Target your business to customers who respect you for the value and level of service you provide, not customers who are looking for everything on the cheap.
Build fantastic relationships with those people, so that they keep coming back for more.
When you do this, you have the opportunity to make a really great living out of the products and services you sell, and you’ll never find yourself in a race to the bottom by competing on price.
If you’re ready to start hitting some great revenue and profit goals in your small business, come join the ladies inside my 40k Club who are already on their journeys to 40k goals.
Let’s make achieving great profit your 40k goal, and not have you sucked in to pricing too cheap.
I’d love to see you inside 40k Club. There’s zero cost involved. Here’s where you go to join.
RELATED POSTS
How To Set 40k Business Revenue Goals You Can Achieve
Focus On The Money In Your Small Business
You have to have faith in the products that you sell, and to create enough profit in those products that your business can survive for the longer term.
If your products are great quality and they provide solutions to your audience in a way that is more effective than your competitors, the right people will find you, and the right people will buy from you.
If you choose fear around your pricing strategy, and you let that define the prices you charge, you’ll find yourself working more hours to achieve the levels of revenue you need, and even then the profit margins will be too low to make your business viable, or to be able to pay yourself a decent wage.
Here’s an example of different pricing strategies:
Over on Etsy I can find rainbow crochet hair scrunchies selling for between £3.50 and £17.00.
Meanwhile Miu Miu has a rainbow crochet hair scrunchie that they sell for £290.
Now argument would have it that all of those hair scrunchies do the same thing – they enable you to tie your hair back with a brightly coloured scrunchie. So there’s not a massive difference with the SOLUTION the product offers.
Miu Miu have a little badge on their hair scrunchie giving it the finished ‘designer’ look. the £3.50 hair scrunchie did not look the same quality as the Miu Miu one, but the £17.00 hair scrunchie on Etsy did.
The vast difference in prices shows how one business values what they are selling over the others.
Miu Miu are not interested in competing on price, they are selling to an audience willing to pay £290 for a crochet hair scrunchie because they want the ‘designer’ label.
I would suggest the business selling the scrunchie for £3.50 is competing on price.
The small business owner selling a £3.50 scrunchie would have to make and sell 82 units for every one unit that Miu Miu sells.
I would say it would be incredibly difficult for that business owner to sustain that level of creating handmade scrunchies. Even if they could they are unlikely to make any level of life changing profit in their small business.
Reason would suggest that if ANYONE could compete on price it would be Miu Miu – a large brand with the ability to mass produce.
The small business owner selling at £3.50 per unit is likely relying purely on themselves. That’s an almost impossible business model to make work.
You will ALWAYS find an ocean of people willing to charge peanuts for their products and services, just to get the sales, and get the products out the door.
That doesn’t mean you have to join them, or feel the need to compete.
Those cheap sellers will never achieve a successful, revenue earning, profit making, life changing business.
It takes courage to charge what you need to charge to make decent profit in your business.
It takes self belief.
It takes being able to ignore people who say “I can get it cheaper at…… “.
Let those people go – remember they’re not your ideal customer/client.
When you take account of the costs of creating your products or services including time, materials, marketing costs, packaging etc., you SHOULD be able to add enough profit on top of those costs, to make selling the product worth your while.
If you cannot do this – what’s the point?
If you’re not making enough profit on top of your costs for every product or service you sell – you’re effectively giving your goods and your time away for free.
You should take time to regularly review your prices.
Take stock and check you’re making profit on everything.
It will never serve your business well to compete on price.
Instead, compete on quality of service, commitment to your customers, the insane value you give compared to your competitors, in ways that aren’t associated with cost.
Work hard to be the best business doing what you’re doing in your niche – and then charge people for the privilege of being part of the amazing business and service you offer.
Stop running your business with fear based pricing.
Review and change your prices, and become bolder about charging what you need to, to make your business profitable.
You can ALWAYS charge more.
This is your business, your life.
You can charge more, and test the waters.
There will ALWAYS be a willing audience out there ready to pay top dollar to have a piece of what you do, if what you do is good enough, and solves a big enough problem for them.
You don’t have to show up and try to serve the masses by selling cheap. That will never make a good business model.
I teach about a great business model that helps you earn consistent 40k levels in revenue inside my 40k Club. It might be worth you being there. It’s free to join.
Target your business to customers who respect you for the value and level of service you provide, not customers who are looking for everything on the cheap.
Build fantastic relationships with those people, so that they keep coming back for more.
When you do this, you have the opportunity to make a really great living out of the products and services you sell, and you’ll never find yourself in a race to the bottom by competing on price.
If you’re ready to start hitting some great revenue and profit goals in your small business, come join the ladies inside my 40k Club who are already on their journeys to 40k goals.
Let’s make achieving great profit your 40k goal, and not have you sucked in to pricing too cheap.
I’d love to see you inside 40k Club. There’s zero cost involved. Here’s where you go to join.
RELATED POSTS
How To Set 40k Business Revenue Goals You Can Achieve
Focus On The Money In Your Small Business