Setting the right group coaching pricing for your coaching sessions in 2024 can be complex, especially with so many factors influencing the final decision.
As an experienced coach, you understand that your expertise, location, and clients’ unique needs all play crucial roles in determining the value of your services.
Whether you’re looking to expand your offerings or just starting out, finding that sweet spot where your prices reflect your worth without alienating potential clients is essential.
This guide will help you understand the nuances of group coaching pricing of your coaching sessions, avoid common mistakes, and ensure you’re providing value while earning what you deserve.
Let’s walk through this together, ensuring you feel confident and equipped to make the best decisions for your coaching business.
What is Group Coaching?
Group coaching is a dynamic and interactive form of coaching in which you work with multiple individuals at once, fostering a shared learning experience. It taps into the group’s collective wisdom, diverse experiences, and mutual support, enhancing both personal and professional growth.
Let’s explore what makes group coaching a uniquely powerful approach:
- Participants often have similar goals or face common challenges, creating an environment where everyone feels connected and engaged in their journey toward achieving their objectives.
- As a group coach, your role involves guiding discussions, facilitating activities, and promoting peer learning. You provide the required structure and support while allowing organic interactions and insights to flourish within the group.
- Bringing together individuals from various backgrounds and experiences enriches learning. Each member offers unique perspectives and solutions, making the coaching experience more inclusive and multifaceted.
- Group coaching nurtures a strong sense of community. Participants encourage one another, celebrate successes together, and hold each other accountable. A sense of camaraderie meaningfully increases motivation and commitment, helping everyone stay on track.
- Group coaching is typically more affordable than 1:1 sessions, making it accessible to a broader audience. The affordability means that more people can benefit from professional coaching without compromising on the quality of the experience.
If you want to learn how to structure your group coaching program, read this blog post for a step-by-step guide.
How to Set Up Group Coaching Prices
Here’s a detailed approach to help you set competitive and profitable costs for your group coaching.
Disclaimer: The numbers used here are for representation purposes only.
- Start with your 1:1 coaching rate
Your current rate for individual coaching is a good starting point, as it already reflects your expertise, experience, and the value you provide.
1:1 coaching fee
Begin with your individual session rate. For example, if you charge $150 per session, use this as your baseline.
- Group session revenue goal
Since group sessions involve more participants and offer additional value through group dynamics, multiply your individual rate by 1.5. So, your revenue goal for each group session becomes $225.
Ideal group size
Determine the ideal number of group coaching participants. Let’s say you aim for a group of 6 clients. Divide the total session revenue goal by the group size.
For example, $225 divided by 6 equals $37.50 per person per session.
Enrollment rate
If you anticipate an 85% fill rate, you might expect 5 attendees instead of 6. Adjust your rate accordingly: $225 divided by 5 equals $45 per person per session. In this scenario, clients pay less than your individual session rate while you earn more per hour overall.
- Hourly and weekly rates
You can prefer to set hourly or weekly rates instead of per-session rates, depending on your coaching structure.
Hourly rate
Calculate your desired hourly rate based on your 1:1 coaching. For example, if your 1:1 hourly rate is $100, your group coaching hourly rate could be $150. With a group of 5 participants, this translates to $30 per person per hour.
Weekly rate
If you prefer weekly billing, determine how many hours you’ll spend coaching each week.
For example, if you conduct a 2-hour session each week, your weekly revenue goal might be $300 (2 hours x $150). Divide by the number of participants: $300 divided by 5 equals $60 per person per week.
Avoid These Group Coaching Pricing Mistakes
Here are some common pricing mistakes to avoid when setting group coaching pricing:
Setting prices too low
Charging too little can undervalue your coaching and attract too many clients, making it tough to manage. Your prices should reflect the true worth of your services. Fair pricing ensures a balance between demand and quality and helps weed out less committed clients.
Missing the value of group dynamics
Group coaching isn’t just about your guidance—it’s also about the value of peer interaction and support. These dynamics can improve the coaching experience, justifying higher fees.
Failing to highlight benefits
If your clients are unable to grasp the value of your group coaching, they may hesitate to sign up. It’s important to clearly communicate the benefits and outcomes of your coaching sessions.
Demonstrate how your program can address their specific needs and alleviate their concerns. Keep in mind that people are seeking results, not just sessions when they decide to invest.
Making clients bear too much risk
Group coaching is a valuable investment, especially for new clients. Reduce their perceived risk by offering guarantees, trial sessions, or flexible packages. These options provide reassurance and make it easier for potential clients to commit to your program.
Mispricing for your audience
Ponder on the financial capabilities of your target audience when determining your prices. Failing to do so may result in attracting the wrong customer base. Align your pricing with what your ideal clients are willing to invest in and adjust your marketing tactics to effectively reach the right audience.
Conclusion: Maximizing the Potential of Group Coaching Pricing
How profitable is group coaching? While it’s uncommon for you to rely solely on group coaching pricing, it can be more financially rewarding per hour than individual sessions. However, you need to consistently attract and retain enough clients to fill your groups to sustain this income.
If you excel at client acquisition and are confident in your ability to manage groups, group coaching can be highly profitable.
In most cases, a hybrid approach works best. Offering group coaching alongside one-on-one sessions boosts income and serves as an effective marketing tool. Successful group sessions can lead to some clients wanting to ‘upgrade’ to individual coaching.
This synergy between group and individual coaching can enhance your ability to scale your coaching business, offering both financial rewards and professional growth.
Exploring digital platforms like Simply.Coach can greatly improve your coaching practice. With integrated session scheduling, a simple interface, a white-labeled portal, and an array of digital tools optimized for client and business management in coaching, you can focus more on offering value to your clients with the help of Simply.Coach.
Try Simply.Coach today and see the difference.
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