(In response to a question on The Co-Active Network.)
I think you will find coaches all over the map on this one. And fees vary greatly depending on whether you are targeting executive, business or life coaching clients. For an decent overview of the industry, you may want to download the latest Sherpa Earnings Survey. You will see that executive coaches are usually charging around $370/hr, business coaches are around $250/hr, and life coaches usually show up between $130 – 170/hr in most of these surveys.
As to me, I do not require contracts or commitments. Clients are free to leave anytime they feel they are not getting a ton of value from our work. Also I schedule calls when the clients needs them not on a rigid schedule. My calls usually last between 30-40 minutes, but I don’t coach with a stopwatch. Rather I simply want to make sure we have covered everything we need to cover so the client is clear and ready for the next few weeks. And my current lowest rate if $500 for 2 sessions, which lasts my average client a month.
For corporate and business clients, who often want more time and more mentoring, the rates are higher.
As to finding the rates that are right for you, my suggestion would be; price yourself to your market.
This is a whole lot easier once you have a clear picture of whom you ideal clients are. However, you can start by getting a feeling for average rates from the surveys. (Just be aware that even though rates are displayed in hours, that does not mean most coaches work with their clients for a full hour.)
Once you are in the ballpark, pay attention to the 20% Rule Of Pricing, which simple states you are priced correctly if, on average, 20% of your clients balk at your pricing. If less than 20% object you are priced too low. If more than 20% object, you are priced too high. And of course you can have a fall back offer (less time or fewer calls) for those folks who cannot afford your regular rates. (I also think it is a great idea for coaches to offer some group programs that greatly lower the cost of supporting folks and sharing what you know.)
And yes many coaches, particularly executive and business coaches, opt to package their services in 3 to 6 months bundles. When you do this, and particularly if you weave in an assessment or two, you can definitely get away from the hourly pricing model.
Finally, perhaps the most common pricing error I see, is coaches letting their saboteur be their marketing manager. Far too many coaches price themselves well below their market. This can actually have a negative effect on how many clients you get. (After all, if it is something really important to you, like brain surgery, would you opt for the provider that offered a rate well below everyone else?)
Hope this helps,
Affordable Business Development For Coaches
I believe coaches do important work in the world, and that they need more affordable and effective business training. Too many coaches struggle needlessly.
So I have always reserved a portion of my practice to work with coaches and run affordable business development programs for coaches. These programs have legions of fans, and fill up quickly by word of mouth.
Like all my work, each of these come with a money back guarantee.