To Do's & Don'ts of Course Pricing - Don't Do THIS If You Value Your Time

When coming up for pricing for your courses, there are a few questions you're going to want to ask yourself. One, how much money do you want to make? How much volume do you need to make that money? And two, how much of your time do you want to dedicate to these courses? And we're going to discuss that in this video here. So let's start off with, I would call the different price ranges for courses. Okay. So we have what we call super low ticket. All right. I would consider that like anything under $50, you know, $7, 17, 27, super low ticket offer. Okay. Next we have what I call low ticket. And this can have a wide range because hobby industry is different from business industry. So if someone's buying one of my business courses, you know, they'll pay a little bit extra money because they can actually make money off of that. Okay, now my guitar courses, you know, maybe someone would pay a lot more money, but there's not a bigger payout on the inside in terms of that they could make money off of this. Because I don't, I don't teach people how to become professional musicians. It's more of what we call the hobby niche. So those can be sometimes a little bit lower. But I put the low ticket range as $100 to $1,000 and I'll explain why in a little bit. Then we kind of have our mid ticket, which is I would say, you know, $1,000 to kind of $5,000. And then our high ticket would be anything above, above $5,000 and beyond. Okay. And that has a wide range because I know coaches who charge, you know, one of my business coaches, he charges I think 50 or $55,000 a year to do one on one business coaching with him. So that is also, you know, obviously that's very super high ticket, but it is considered high ticket. So those are kind of like the different breakdowns. Now say you're an entrepreneur. Let's talk about volume because this is something especially if you're starting out in courses and you don't have an audience, chances are you don't lot of traffic on your brand, you don't have a lot of great ways to get leads into your brand. So selling low ticket could be very, very difficult for you in the beginning. Let's say you want to make $100,000 a year. Alright, So I just did some of the back of the napkin math here and I put in, you know, $100,000 a year, which breaks down to about $8,400 a month. Okay. So if I were doing that with a super low ticket at $50, I'd have to sell 168 of those a month. So which is a lot. And then low ticket, if I was selling a product, you know, say for $100, I'd have to sell 84, so about half as many. That's. That's a little bit more reasonable. If I had something mid ticket, around $1,000, I would have to sell nine of those a month. And then of course, if I had something high ticket at 5,000, I don't need to sell two of those. Okay. Now you're probably like, okay, I'd rather sell two than one. 68. Now this is where the trade off comes in. And I always believe in trade offs. And the trade off is toug time. Okay? So when I started my guitar teaching business, I knew that I didn't want to have a high ticket offer. I have friends who teach guitar and they do have some high ticket programs where you can sign up, you know, to learn guitar with them for, you know, four or five thousand dollars for the entire year. And I wanted to go kind of the low ticket offer. And the reason I wanted to go low ticket and not super low ticket because I knew I needed to make enough money with, with a small audience. Okay. And it took me a little while to get this going. So I decided I sell a $297 product. So what they get for that product is mostly do it by yourself. Okay. Not a lot of involvement for me. I have a little community that I kind of pop into, but there's really not a lot of time required for me. So me growing up, just so you know, I had Hodgkin's lymphoma when I was 16, which is cancer of the lymph nodes. So for me, I learned very young how important time is and that none of us are guaranteed tomorrow. So for me, my time is my most valuable asset. And to get my time, you have to pay a lot of money. So, like my business coaching. So if you wanted to do a 90 day sprint with me and my business coaching, it's $6,000 for 90 days of one on one coaching. Okay? So you have to pay a premium to get my time. And I do have people, you know, who buy that program because they value the one on one. But I also have a group program that's a full year, that's $3,000 for the year. And you get to hop on calls with me, you know, a couple times a month. But it's More in a group format, but it makes it a lot more affordable for people to do because not everyone has $6,000 just to throw down for 90 days of coaching. Okay. They really have to be at a high level of their business. But on the low end, I'm looking for someone who's a beginner, who's kind of just getting started and they really want the foundation of what's the next step in their journey. Whether it's guitar, whether it's business, whatever you're doing, it's kind of those people who are just getting started and just kind of need the next steps. Okay? So they're probably not expecting a lot of one on one or a lot of like intricate customer service for $300. Now, if I'm spending, you know, $5,000. So I spent recently I spent $12,000 on a coaching program with one of my coaches. And you know, for that I expect a little bit more interaction, I expect a little bit more accountability. We have live calls, you know, I can submit questions. So for that price level, I expect a little bit more back and forth. Now this is the same coach that charges $55,000 for one on one coaching. So I don't expect that I'm going to be able to get on the phone and call him or text him like his private clients. But I do expect that if I ask him a question in the community or I email him a question, that he's going to respond to me in some form. I'm not going to be completely ignored because I've paid this higher ticket price to not be ignored. All right, so when you're deciding on pricing, you really have to decide first. How much time do we do? I want to give to my client? Because the more of your time you give, the more you can charge. So that's number one. Number two, what do you need to put in the course that would make it worth that much money? Okay, so if I had a business coaching program and I was trying to make something be $1,000 or what do I need to put in that program that makes it worth $1,000? I have a course called Mastery Blueprint which teaches you all about, like courses and how to build courses, and that sells for $1,000. Okay. Doesn't require a lot of interaction for me. But if someone buys that program, okay. And they make a course and they start selling it, the chances of them making back their thousand dollars is pretty high. We just did the math. If they sell a program for 297 to get back $1,000, they'd have to sell three or four courses. So for them the return on investment is very likely and very good. So I could charge $1,000 and I have to make sure that I put enough content in there to kind of get them to the next stage and get them actually selling. So I want to take them from not selling anything to start selling courses, actually maybe build a course or get a better marketing plan in place so that they can start selling courses. A lot more consist versus if I sold a program, you know, for 297. So my YouTube program, my level up system, that's only 297, all right? And it's just the basics of getting started on YouTube, building a brand on YouTube. And you know, I don't talk a lot about the monetization process of YouTube. That's more in the course program, but it's a guide to get people started on YouTube. All right? And it doesn't require a lot of back and forth from me. And for 297, that's worth it. How many videos are in these courses? My guitar program has about, you know, 70 to 80 videos. These videos are anywhere from five minutes to 10 minutes in length. My course mastery program, I think that's seven or eight modules. And each module has anywhere from three to five videos. And sometimes those videos are 10 minutes. There's a few of those videos that are actually 30 minutes in length. So for me, it's about providing enough content. I don't want to be like, it has to have three hours of content. It needs to have enough content to create the transformation. Okay. Because you have to remember people aren't buying courses from you, they're buying transformations. So if I can provide a massive transformation in like two modules and six videos, then that's the massive transformation. And I can charge appropriately for that transformation. So let's use an example. Let's say I'm a fitness coach. Okay. I just started working out again with my coach. So I'm in a fitness mood. And I have a program that's going to help you lose five pounds, five to ten pounds in the next eight to ten weeks. Okay. What would you pay for that result? Okay, I have a program and maybe it's going to be, you know, one module per week. And each module has one or two videos or maybe has one video in one PDF assignment that goes with it. You know, maybe each week is a new workout, okay. And the video is the workout. And you're going to take people and you're going to Say, hey, if you. This is kind of going back to a guarantee, okay? And we can talk more about guarantees in another video. But you could say, I'm going to guarantee if you follow this program step by step, in the next eight to ten weeks, you will lose at least five pounds. Okay. How much do people pay for that? Well, it depends. If it's someone who's just casually looking to lose five pounds, they might not pay as much. But if someone has their 50th reunion, maybe in 10 weeks, they might pay a little bit more for that because the urgency is there. So it really depends. And I don't want to give you, you know, specific measurements to be like, hey, this is what you should do. But a general guideline would be you're trying to create a transformation and get someone from point A, possibly the absolute beginner stages, to point B or maybe C. Okay. We don't want to take them down the entire journey. That's too much. I did that with my guitar program, and it was kind of a mist. I made it much bigger than it needed to be. But my goal or my recommendation would be create a course that's maybe like three modules, very digestible, three modules that has enough information. So maybe module one is step A, module two is step B, and module three is step C. So that by the time they get through this, that maybe they can complete this transformation in 90 days, which is a very, very good timeline. Okay. If you can get someone to transform or change their habits within 90 days, that's amazing. And you can charge more for that. And then when they graduate and they're doing so well, they're going to ask you what's next. Okay. So that is something to keep in mind as well. We don't want to make these courses so long that takes them forever to get through them, that they never graduate and move on to the next thing. Now, if you're curious about what type of content should go into a course versus what type of content you should be putting on YouTube, you know, to grow your marketing, go right over there. You might be surprised at what I did for my first YouTube videos.