Positioning can affect almost all aspects of your business, but most particularly the rates you are able to charge. Your positioning decision is what establishes your competitors and influences the clients you will get when you are first starting your business.
Positioning is about client perceptions. If clients see you as a top service provider, you can charge the highest rates for your services. If your positioning has put you up with the moonlighters, part-timers and other less established professionals, your rates will reflect it.
Positioning influences the kind of client you can get as well as the following elements: the size of the client; the clients’ budgets; the type of work contracted; the kind and length of service contracts.
Positioning and Business Type
If your positioning is attracting micro businesses, you will be getting clients with a smaller revenue base, IT budget, fewer number of PCs and other items that will translate to less money for you in the long-run. You have to get away from moonlighters and low-cost providers by charging higher rates and making your reputation match.
Positioning Yourself as a Professional
You need to use positioning to make yourself appear as a discriminating professional and an excellent provider so you can attract the sweet spot clients you need to get to further your business. The better the clients, the better their ability to pay you. Sweet spot clients will have larger IT budgets and much more detailed needs.
Positioning helps connect the clients you want to attract to your business. You have to make an effort to put yourself in the elite group so you can charge the best rates and build your reputation to justify this charge.
Added By: Computer Consulting 101
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