I’m delighted to offer a spot here on Taking the Next Step to Joyce Hansen, a business brain educator, trainer and coach. She’s held business and academic positions but finds being an entrepreneur the most rewarding. At Money, Women and Brains, Joyce blogs about how women entrepreneurs can integrate business brain marketing strategies into product development, goal setting, decision making, and marketing. This article is about value and worth. ~ Jackie Harder

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There it is again. Another offer for a new product, service or training course is dangling before you.

Is this purchase worth it?

And, there you stand at the crossroads. You’re not sure if it’s for you. But then again, there’s a mental nagging that you might be missing out on something you really need.

You try to run the numbers and the reasons for and against quickly in your head.

Then you find yourself stuck in “indecisive” mode again.

Should you or shouldn’t you? Do you pull out your credit card or do you walk away thinking you really didn’t need it and you can get by without it?

When it comes to shopping for groceries, clothing, accessories and cosmetics, there’s no question that you recognize value and a bargain when you see one. However, what about when it comes to making a purchase for something that could help you grow personally or help your business grow? Without question, the answer to the latter is not simple. You will need the help of many people along the way with Accounting services Melbourne helping you deal with the financial side of things.

The difference between value and worth

One of the challenging aspects of making this kind of purchase decision — which many women struggle with — is the question of value and worth. This is especially true when it comes to high-ticket items.

The best definition of “value” comes from Warren Buffet: “Price is what you pay and value is what you get.”

With online purchases, a good marketer will include a list of benefits to create the idea of value in your mind. The difference between a feature and a benefit:

• A feature is a descriptive. “This program automates your social media messages.”
• A benefit adds a reason. “This program automates your social media messages so that your readers will always see a fresh message from you, night or day.”

But value can mean different things to different people. In order to determine if there really is value, you’ll want your own value scale. This allows you to measure the benefits being offered before you make a purchase.

By comparison, “worth” is a benefit having greater personal significance. One way to measure worth is to ask personal benefit questions — or asking WIIFM (“what’s in it for me”) questions and see if there are answers that resonate.

Professionals use algorithmic formulas and measure different variables to determine value and worth. You can avoid all that with these 5 quick and easy steps.

How to determine worth and value

1. List the top 5 benefits being offered and rate each one on a scale of 1-5, with 1 being the least important and 5 the most.
2. Rate the 5 personal benefit questions using the same 1-5 scale.
3. Add up all the points and record your total.
4. Divide the total by the total number of points (50). Multiply this number by 100 to get the percentage of overall value and worth of these benefits.
5. Find your value and worth level.

• 10-20%: Not much value and worth
• 21-40%: Some value and worth
• 41-60%: Mid-range value and worth
• 61-80%: Fairly high value and worth
• 81–100%: Very high value and worth

Here’s an example where I took 5 common benefits usually found in programs promoting goal-setting and I’ve added 5 personal benefit questions. (These can be freely replaced by those which are more specific to you or your business.)

The rating scale stays the same for all questions based on a level of importance.

1 = not at all important
2 = slightly important
3 = important
4 = fairly important
5 = very important

Sample marketing benefits

Break the bad habits that keep you from taking action so you are finally able to check off those unfulfilled goals on your list. _____ (1-5)

Immediately use proven strategies so that you can achieve the goals that matter most to you and your business success. _____ (1-5)

Create an action plan that overrides any obstacles that are keeping you from achieving your highest goal. _____ (1-5)

Make faster progress toward your goal by having more energy, clarity and drive to finally get what you want. _____ (1-5)

Develop a goal-setting mindset that lets you focus on the one goal that will give you the best results in the shortest amount of time so you can concentrate on other, more important things. _____ (1-5)

Personal benefits of worth

Does this give me something I can use elsewhere in my life or business? _____ (1-5)

Will it change in a positive way how people view me or my business? _____ (1-5)

Does it increases my personal skills, knowledge or professionalism? _____ (1-5)

Will it free up my time to accomplish other things? _____ (1-5)

Does it address issues that have been keeping me from moving forward in life or business? _____ (1-5)

Now, total of all your benefit points ______

For the sake of the example, let’s say your total is 38 out of 50 points. Dividing 38 by 50 = .76 x 10 is a 76% value/worth ranking. This falls at the high end of being “fairly important” for value and worth.

However, there’s still that question of a high-ticket price. In order to decide if the benefits are worth the price, you have to ask yourself a few more questions.

1. If price were no object, would I buy based on the benefits?
2. If the benefits remained the same, and I was able to purchase at a discounted, special or limited time offer, would I buy?
3. If the benefits remained the same and I was able to purchase with affordable time payments, would I purchase?
4. Would I be more inclined to purchase if there’s a lower priced introductory program?
5. Would I purchase this program if I had to stretch myself financially?

A yes or no answer to each of the questions gives you a general idea of how you perceive the overall value of personal or business benefits and how money plays into your final decision.

And, yes there are times when you should not put yourself in financial jeopardy if something is beyond your means. This requires being honest with yourself about your current finances, as well as the consequences a high-ticket purchase on your financial stability.

However, if you find the value of the benefits is well above 50% and you have the means to purchase at a level that is comfortable for you, then it’s time to seriously consider taking action.

Remaining indecisive and taking no action on benefits that contribute value and worth means that nothing happens. That’s right — nothing happens until you decide if value and worth are enough to motivate you to make a purchase for yourself or your business.

What are the benefits that have enough value and worth to motivate you to make a purchase? Please share in the comments.