RR#092 - Escaping the hourly billing trap
Some of our best work happens “off the clock.”
It’s not uncommon for a breakthrough idea to hit me when I’m at the beach, on a long run, or playing basketball with my kids.
Stepping away from a problem and allowing our brains to relax and play often spurs creativity that wasn't there while grinding away.
But this is normal. As Greg McKeown writes in Essentialism:
Columbus was at play when it dawned on him that the world was round. Newton was at play in his mind when he saw the apple tree and suddenly conceived of the force of gravity. Watson and Crick were playing with possible shapes of the DNA molecule when they stumbled upon the double helix. Shakespeare played with iambic pentameter his whole life. Mozart barely lived a waking moment when he was not at play. Einstein’s thought experiments are brilliant examples of the mind invited to play.
This is why I tell my consulting clients, “I’ll make you more money on my bike ride than I will sitting in Zoom calls all day.”
And it highlights just one of the many challenges with selling any kind of expertise to clients at an hourly rate: clients are paying for one product (time) and getting another (expertise).
Chances are, you’re well aware of the limitations hourly billing presents from your standpoint:
Capped earnings
Complexity in tracking
Getting bogged down in busy work
But do you know how to reframe it to help your clients see how it isn’t in their best interest either?
As a consultant, I successfully migrated out of hourly billing years ago by helping my clients see how it didn’t serve them.
By moving away from hourly billing, not only was my earning potential unlocked, but I was also able to deliver more innovative solutions. This meant my clients received greater value and more impactful results.
It’s a win/win if you do it right.
I recorded a video sharing five ways you can reframe the whole “hourly billing” conversation with prospects, so you can start earning more and delivering better work.
Watch full video.
P.S. - Wanna take it on the road? Tune in on Repeatable Revenue Podcast here.
