One Step Toward True Value Billing

Whether you are currently billing by the hour and want to start getting paid for value instead, or you are using value billing but struggling to attach the correct dollar amount to the value you provide, here's a simple way to take one step forward on your mission to get paid based on the value of what you actually accomplish for a client.

Let the client determine the value after you've made your impact.

I'm serious. Do the work first. Then, let the client determine its value and write the check.

Before the litany of "what if" and "no way" scenarios running through your head produces smoke, allow me to demonstrate a way to do this while minimizing the associated risks.

The example I'll use is my Idea Transfusion™ session. Simply put, a company assembles a few decision-makers, some executive-level sales team leaders (VPs or senior VPs), some sales managers and a selection of sales people (figure 10-30 people total) for a four-hour idea-generation session.

I facilitate and lead the discussion -- helping the team articulate its problems, challenges and goals. Then I pull ideas out of the team, pepper them with some of my own and flesh them out until the team is excited by what it created -- effectively transfusing the best ideas from individuals into the entire group.

When the session ends, my client (a decision-maker who attended) writes me a check for whatever he or she thinks is fair. And I neither complain nor rejoice over the size of the check.

I choose this model for three reasons:

1. I'm playing to my strengths. There are few things I do better than generate ideas and pull ideas out of others.
2. An Idea Transfusion session requires very little preparation, because I'm really good at thinking on my feet. So at most, I'm risking a half-day of my time.
3. Even when a decision-maker thinks the ideas weren't worth much, at least a handful of others in the room will disagree -- they'll each have found immense value in at least one idea. So in the worst-case scenario of not getting paid anything, I've built some new value-based relationships -- always a worthwhile result.

What do you do better than anyone else? (What are your strengths?)

How can you do this with a company and not risk more than four hours of your time?

Are you willing to trust people completely?

If you can answer those questions, give this a try and see whether it works for you.

Gill E. Wagner, Sage of Selling
President of Honest Selling
Founder of the Yellow-Tie International Business Development Association

Comments

[Curtis Gray]

Gill, this is risky advice, but, because I've trusted you before and it worked out I'll give this some serious thought.

Also, you should figure out a way to route your Feedblitz readers back here so we can make comments (providing invaluable feedback to you and encouraging vigorous involvement from your readers, thus drawing in more comments). It wasn't obvious in the email how to 'talk back'. Just a thought.

Curtis