How to Apply Sliding Scale Pricing with the ASS Model
A housemate of mine is starting a somatic healing business and asked me to look at her offerings/website and give feedback. It is important to her to make sure that her offerings are accessible to anyone who might need it, so very clearly stated in the description of all her offerings that she operates on a sliding scale payment system and then gave a very generous range, 20 Eur per hour to 150 Eur per hour. Clients can decide what to pay her based on their financial situation.
Good idea? Here are my thoughts…
I think it’s GREAT when business owners offer accessibility options when it comes to payment. I myself have taken advantage of such offerings over the years when going through moments of financial instability - so I am in no way discouraging this practice. But…I also know that healers especially tend to undersell and devalue themselves. They want to help people so much and reach as many people as possible that they will literally give their offerings away even when it’s a financial burden to do so. But here is the thing you have to remember, Conscious Business Owners have bills too! And with the rising cost of living, it’s becoming even more important to figure out a fair pricing model, one that keeps YOUR bills paid and also promotes accessibility. Otherwise, you risk burning yourself out or going out of business, which is not good for anyone. And offering a very steep discount can actually backfire in the long run when building your brand because it will cause doubt in those who actually can afford to pay a higher rate. They will ASSume that you aren’t really good at what you do and spend their money elsewhere.
Here’s What To Do Instead
Instead of giving anyone and everyone the ability to choose how much they pay for your services, I recommend applying the Assigned Sliding Scale Model. With the ASS model (I can’t make this shit up — HAHA!) you determine the revenue you need to generate per day, week, or month, and then create assigned slots that ensure that you will be compensated fairly. So if you are a massage therapist and you determine that you need to charge €100 a session to keep the lights on and your family fed, then you can offer 1-€100 sessions per day, 1-€50 session per day, and 1-€150 session per day, for example. Once those slots are full, they’re full. You can use this pricing model as marketing, and say something like: “When you book a €150 session, you are supporting access to services to those who may have a hard time accessing these services otherwise.” If you are an advocate for a certain marginalized group (women, trans folks, or BIPOC, etc.) you can clearly state that your discounted rate is specifically for them. This works especially well if you host events, workshops, or teachings.
The more transparent you are about WHY you are offering an assigned sliding scale the more likely your clients will rally with you in a social-justice-minded private practice.
So there you have it - a fair way to offer sliding scale pricing while also ensuring that your lights stay on and you can feed yourself and your family!
