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How to Price Your Course
Not sure what to charge? Here’s a simple formula.
First, let’s talk about the three mistakes we hear about all the time when people think about charging for their course, either as a one-off purchase or a subscription.
1. Undercharging for results and transformation.
“I’m launching my program for the first time and don’t have all the course materials built out yet. This means I have to offer it for free.”
Don’t undervalue yourself and the power of the community you’re building. The mere fact that you are bringing people together for a specific purpose is creating value. It’s not about having hours of content or being a world-famous expert. You only have to be one half-step ahead of your members.
2. Trying to move a free group or course to a “cup of coffee” priced group or course
“I have a free Facebook Group. If I charge $5 a month for my community or course, it will be a great deal and people will definitely join.”
Don’t worry about pricing your community in a way that won’t turn off every “looky loo” and lurker in your free Facebook Group. Not everyone is going to join you on this next stage of your journey, and that’s okay. Instead, consider what you can build for a smaller subset of your most engaged members. What do they need? What could they achieve if you bring them together? Those are the people you’re building (and pricing) this for.
3. Offering too many choices.
“I’m going to start with 5 different membership tiers, starting at $5 a month and going up to $99 a month with different offerings each week.”
Things can get complicated quickly when it comes to digital subscriptions and courses. While it may seem tempting to build offerings and bundles that might appeal to different people, you’ll find your focus being pulled in too many directions. And instead of spending time making ones offering the best it can be, you’ll be spending time explaining why each offering is different. Start with one thing, and go from there.
Now, onto the good stuff: How to set your course price.
First, you need to know that there is not a single price you need to benchmark to. While the average membership price on a Mighty Networks (for those who charge at all) is $40/month, there are course creators charging hundreds per month, and some even in the thousands.
Which makes sense: you’re creating something that is going to get people results and transformation in a specific area of their life.
What they’re willing to pay is going to depend on what else they might spend to get those results, if your community or course didn’t exist.
For example, if you’re a health and wellness focused community, what might you replace for a member? A personal trainer? A diet plan? Different exercise equipment? What would that cost look like over a year?
Secondly, you need to consider that the higher the price of something, the higher the perceived value.
Again, what are your members comparing you to? Are they looking at other services that are priced higher, and may be wondering if that means they’ll have better results there?
People pay attention to what they pay for. If you’re charging a premium, people are going to be more likely to show up, to contribute, and get results. Paid Mighty Networks actually have higher engagement than Mighty Networks that don’t charge for access.
Finally, consider your time and the resources you’ll be able to devote to your community if you charge what you’re worth. What kind of program could you create for 10 people at $500, vs. 1000 people at $5? How much more of your energy and focus could you bring to creating the best program possible for a small and engaged cohort you can get deep and specific with?
Hopefully, now you have a few price points in mind. You can do more research and talk to some prospective members to validate your assumptions, but there’s also no reason not to jump right in. Your course and community need to exist in the world, and we’re here to help you make it happen.