SPECIFIC TOPICS: TEACHING TIPS:

TEACHING TIPS:

1.       PRICE:

Every professional seeks to maximize the amount they receive for the services or products they sell. Charging “a just” price for the products and services they offer involves a number of factors.

As a professional English language teacher (I also work as a business consultant/ translator/ free-lance writer), in Curitiba, the capital of the southern Brazilian State of Parana’, I fix the amount I charge per hour to teach students based on a number of variables. As a result of these factors I earn above the average for an English teacher in the region but charge below the average hourly rate. The following values are based on the Brazilian Real.

English school teachers: English schools pay their teachers between R$ 20 and $30 per hour. (Generally teachers receive only for the time they spend in front of students. The bureaucracy the school demands, teachers meetings and Friday afternoon training sessions are not remunerated). When teachers are sent to teach in-company, the school normally (but not always) pays the teacher an extra amount to cover their bus fare (R$6,60).

Independent teachers: The average independent teachers are currently charging is between R$50 and R$60 per hour, (judging however by the number of complaints I receive via my students this price is considered by students as being too high). I charge between R$30 and R$40 per hour, (per hour not per student).     

		price
Student	years	R$30	R$35	R$40	Fixed value R$30
C	3	X			Charged even if the student cancels class
ED	1.8	X
S	7	X
N	3	X
W	1.8	X
J	7	X
R	7		X
J	2		X
A	.9		X
G	1.5		X
S	2		X
E	1.8		X
P	.1		X
W	1		X
M	5			X
F	5			X
C	.6			X
L	12				X

Figure 1: The value I charge my students per hour and the years I have had these students.

To set my price I employ what I call the “push / demand” method. I have two students in the R$40 range who independently give me a pay increase each year without me requesting it (they determine the amount). At the other end of the scale I have some students who tell me I need to charge more, (which means they are willing to pay more for my services).

As I currently have very little time available, I am charging new students R$40 (following the rule of supply and demand) but this depends on how they arrive.  For example if a R$30 student recommends a close friend, I will charge the friend R$35 per hour rather than R$40 per hour.

I charge students for only the classes I teach them. Many of my students are business people who travel a lot or need to attend meetings at short notice. This means they need to miss class frequently. Providing they give two hours’ notice, I do not charge for missed classes, (in other words I only charge for the classes I actually teach). Although this situation is seldom favorable to me, it is one of my most important marketing strategies. Students who need to pay for classes they have missed feel frustrated because it’s not their fault; it is the fault of their employers. To compensate I have several flexible students who have no fixed times, but who are happy to have classes when cancelled space becomes available. This flexibility is one of the reasons I have so many long term students. They appreciate the flexibility I offer.

With the passing of years I am building up long term students. Many of these students reached fluency some time ago, but like to have one or two classes per week to maintain their English level. These students in fact are not learning a lot of new English but are in a process of what I call “polishing” (making their English better). For me these students are interesting because they provide stability to my income. (I know for example when they are likely to fault, how they prefer to pay and their intention to continue studying with me or not).

I have a policy of not accepting students who have their classes subsidized by their employers. This is because I believe such students often loose the motivation to study, the company demands a lot of bureaucratic feedback, and if times become difficult, English class subsidiaries are one of the first things companies cut.

I charge per hour, not per the number of students in the class (though I usually limit numbers to 4 students). By doing this I am able to teach students who perhaps would otherwise not have the opportunity to study English thus extending by market base.

It is common in Brazil for service providers to set their prices depending on what they believe their clients can afford to pay. Even though I do have some students who have very high positions and therefore high salaries, I do not charge them extra.

I generally only increase my prices once every two years. Short term students are happy that their course has not increased during the time with me (which is good from a marketing point of view) and longer term students, by the end of two years,  want me to increase my prices (which is also good from a marketing point of view). 

Brazil is currently experiencing its worst economic recession in 25 years. Whereas many English teachers I know have had a drastic reduction in the number of classes they teach and subsequently their income, because of my positioning in the market I have not lost any students. In fact I have a waiting list. (Some of these students have cancelled classes with higher charging teachers).

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