Read on Twitter
The more you charge, the easier it is to sell
Let me tell you about my first contract with the #1 consulting firm in the world...
Let me tell you about my first contract with the #1 consulting firm in the world...
At 26 I was fed up with my life
I had cut my teeth in Affiliate marketing and sold a small ad network 6 years earlier
I spent the next 6 years running around and promoting nightclubs and drinking 7 days a week
During the day I would do digital strategy consulting...
I had cut my teeth in Affiliate marketing and sold a small ad network 6 years earlier
I spent the next 6 years running around and promoting nightclubs and drinking 7 days a week
During the day I would do digital strategy consulting...
I didn& #39;t tell anyone I worked in nightclubs with about the work I did during the day, I thought it wasn& #39;t cool
and didn& #39;t fit the narrative of a "nightclub promoter"
(I was wrong) and digress...
and didn& #39;t fit the narrative of a "nightclub promoter"
(I was wrong) and digress...
I reached a point where someone that knew me well and believed in me saw something more
They had a new job at McKinsey & Company
arguably the top consulting firm in the world
& there maybe was an opportunity for me...
They had a new job at McKinsey & Company
arguably the top consulting firm in the world
& there maybe was an opportunity for me...
I got a call from them:
"James! We were talking internally about figuring out how to acquire clients earlier on in their journey
We want to see if we can start figuring out how to find them online, and get them in at $200k contracts, instead of $20M ones"...
"James! We were talking internally about figuring out how to acquire clients earlier on in their journey
We want to see if we can start figuring out how to find them online, and get them in at $200k contracts, instead of $20M ones"...
Well to me? even $200k contracts sounded like big ones. This was a new world in a way.
I told them I thought I could help them figure that out.
They told me to suit up and come by the Blackrock building the next week to discuss...
I told them I thought I could help them figure that out.
They told me to suit up and come by the Blackrock building the next week to discuss...
So there I am 26 years old
Wearing a poorly fitted suit, scruffy facial hair, and reeking of cigarettes
Gave the security guard my ID, and hopped on the elevator up to one of the floors that McKinsey had...
Wearing a poorly fitted suit, scruffy facial hair, and reeking of cigarettes
Gave the security guard my ID, and hopped on the elevator up to one of the floors that McKinsey had...
Boy did I think I was unqualified for the gig
but after a couple of hours of talking? They felt differently
I could tell I had it in the bag. I asked to go take a call and come back.
Luckily? Nobody had an issue with it...
but after a couple of hours of talking? They felt differently
I could tell I had it in the bag. I asked to go take a call and come back.
Luckily? Nobody had an issue with it...
So I went downstairs and called up the person who had suggested me for the gig
"I think I& #39;m in" I said
"How much are you going to charge them" was their reply.
well...
"I think I& #39;m in" I said
"How much are you going to charge them" was their reply.
well...
I had NO idea about this world. I had come from running sketchy affiliate offers, and small niche content sites. My biggest win had been selling a small CPA network.
But I was just a kid. A college dropout who caused so much trouble he went to 5 high schools...
But I was just a kid. A college dropout who caused so much trouble he went to 5 high schools...
I thought about it for a second and replied
"$50 an hour, I& #39;m going to charge $50 an hour"
The phone went silent...
"James...If you go back upstairs and tell them $50 an hour, they will laugh you out of the room. You need to charge much more"...
"$50 an hour, I& #39;m going to charge $50 an hour"
The phone went silent...
"James...If you go back upstairs and tell them $50 an hour, they will laugh you out of the room. You need to charge much more"...
So we went back and forth, and I finally decided $250 an hour was right
they thought I was still severely undercharging
some people at the firm have $25k+ day rates
But $250 seemed like a lot at the time to me, I didn& #39;t know this world...
they thought I was still severely undercharging
some people at the firm have $25k+ day rates
But $250 seemed like a lot at the time to me, I didn& #39;t know this world...
I finished my phone call and a cigarette (gross) and went back upstairs to finish the meeting.
I nervously told them that my hourly rate was $250 an hour, and awaited their reply...
I nervously told them that my hourly rate was $250 an hour, and awaited their reply...
"Sounds good to us!" they said enthusiastically
"send us over an official proposal and let& #39;s get started"
I was floored....
"send us over an official proposal and let& #39;s get started"
I was floored....
I immediately thought,
"I should have told them my hourly rate was $500"
The crazy part is?
That would have been low too. Im lucky they gave me the gig at $250 an hour...
"I should have told them my hourly rate was $500"
The crazy part is?
That would have been low too. Im lucky they gave me the gig at $250 an hour...
I know this because expert insight firms they use to hire me today?
Will pay up to $3k an hour to pick your brain for the right things.
Needless to say, I charged more when I did more work with them
But what& #39;s the real lesson?...
Will pay up to $3k an hour to pick your brain for the right things.
Needless to say, I charged more when I did more work with them
But what& #39;s the real lesson?...
The real lesson here, is that for the right customer/client
The more you charge, the easier it is to sell
Competing on pricing is a losing game. And for people charging $20k a day for their time and $20M engagements?
$50 an hour is a joke...
The more you charge, the easier it is to sell
Competing on pricing is a losing game. And for people charging $20k a day for their time and $20M engagements?
$50 an hour is a joke...
In their mind, nobody that& #39;s ACTUALLY good at what they do
only charges $50 an hour
It was an INCREDIBLY important lesson to learn...
only charges $50 an hour
It was an INCREDIBLY important lesson to learn...
So NO...this isn& #39;t me telling you to just go charge people more than you& #39;re worth
This is me telling you to know what you& #39;re worth! And to charge accordingly
Higher prices imply quality (even if not true)
and never forget that!
But one more thing...
This is me telling you to know what you& #39;re worth! And to charge accordingly
Higher prices imply quality (even if not true)
and never forget that!
But one more thing...
If you liked this story, let me know!
Shoot me a follow -> @jamesoncamp
I like to teach marketing and entrepreneurship by using my experiences and sharing them here
Also, a like and retweet on the first tweet in this thread would be great to spread the message to others...
Shoot me a follow -> @jamesoncamp
I like to teach marketing and entrepreneurship by using my experiences and sharing them here
Also, a like and retweet on the first tweet in this thread would be great to spread the message to others...
