This post comes with a trigger warning: it contests the status quo... and whenever anyone or anything does that, the internet comes hunting. Alas, bear with me, as I write, and you read, and have an open mind.
Children's activities are hugely underpriced in the UK. There, I've said it. Not just underpriced, but by a country mile. It is actually incredible to hear and see how little some businesses are charging for their time and services. Let me be clear: I'm mainly concerned with services which require specialist knowledge and qualifications in order to teach / deliver. With that said, we'll be concentrating on dance, acro and gymnastics tuition, as these are the industries we are particularly fond of, here at Acrotrix.
when you charge a minimal fee for your service, you allow parents to perceive a minimal value of your service
How little is too little? I have seen that some Dance / Gymnastics schools charge as low as £2.50 or £3.50 per hour per child for a 1hour class. That is as low as £10 per month for a specialist class. We're not talking about arts & crafts or activity camp here. Right off the bat, I'm going to say that is too little. If you are a teacher / coach charging as little as mentioned above, you have to ask yourself very clearly: "Is this how much I / our business is worth?". Because it is nothing to do with money, it's deeply rooted in value and worth. The money / fee / cost is simply a by-product of the calculation of value or worth of a product or service.
You and I will pay for whatever we value. Whether you want something or need something, you'll value it. You value it because you want it, and you value it because you need it. Now, we know it isn't the children paying for their classes, it's the parents (can you imagine a reversed universe... that would be worth a watch). Thus it's the parents whom are determining the worthiness or value of products and services they are paying for, regardless of whether it is for themselves, or for their children. I will say something incredibly clearly for all to read: when you charge a minimal fee for your service, you allow parents to perceive a minimal value of your service. The lower you go, the lower the perceived value is. Conversely, the higher you go, the higher the perceived value is (to a point).
Nike doesn't change its pricing based on whether you live in Blackpool, or Surrey
"But we can't charge much in our area." Stop. Immediately. This statement is futile and the argument doesn't hold up, based on my previous paragraph. I have to ask a question to those who actually use this statement: what happened the last time you raised your fees? Or have you not tried raising fees yet through fear of what may go wrong? Something to think about.
The myth of not being able to charge over a certain price point due to a particular location is also debunked when you look at other services / products / companies which operate nationwide. A simple comparable would be Physiotherapy. Physiotherapy pricing is largely unchanged around the majority of the UK - i.e it doesn't matter where you live, you'll be paying the same amount (more or less). What about branded sports apparel? The last time I checked, Nike doesn't change its pricing based on whether you live in Blackpool, or Surrey. And I'm pretty sure parents who are sending their children to our classes, whether in Scotland, or London are wearing the same Nike trainers regardless of their location, and crucially, have parted with the exact same amount of cash in exchange for their sweat-factory-made goods.
Why is this important? I personally believe we are harming ourselves. By believing this myth of pricing, the consequence is that we underprice ourselves, and thus we undervalue ourselves. We allow our potential customers to perceive a certain level of value of our services, and thus we are then in fear of raising our pricing, through some misguided sense of morals. You work HARD at your craft. You studied (and continue to) for your craft. You go above and beyond every single day. You're a teacher, mentor, counsellor, conflict resolver, and much more. You change lives for the better. You work through tiredness, mental and physical challenges every week. You should be paid as such.
This post is designed to open up the conversation more within the sector, not to point fingers in any way (despite the face some of the internet will probably elude to the latter).
DISCLAIMER: I understand that teachers don't teach for the money. I understand that some activity providers run not-for-profit or on a voluntary basis. I understand that some people are struggling. This does not mean that YOU must continue to be undervalued and/or underpaid.
What are you truly WORTH?
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