Executive coaching has, over the years, continued to gain increasing popularity in modern business, and for good reasons too. Executive coaching helps you push harder and work towards overcoming challenges in your career. So, seeking the help of a professional executive coach is a step in the right direction if you are looking to place yourself at a higher level in your career or increase performance.
What is Executive Coaching All About?
While it is a relatively new field, executive coaching is an area that has steadily gained the interest of many, especially those in the business world. This process is helpful for individuals and companies alike and has been proven to deliver outstanding results within a remarkable time frame.
Executive coaching is a process that involves motivating, challenging, and encouraging the client to push past their limits, or think outside the box to achieve set out goals or improve performance. Executive coaching covers a wide range of issues, which could include organizational, business or personal matters.
The executive coaching process helps clients harness their strengths and use it to their advantage, discover their weaknesses and improve on them, and nudge them in the right direction to help them fast track their goals, grow, improve their career performance or personal relationships.
What is the Cost of Executive Coaching?
When most people think of hiring an executive coach, whether it is a leadership coach or a career coach, one of the most likely questions they ask is “what should I pay for a coach?” The truth is that there is no definite answer to this question because executive coaching is a relatively new field that is not strictly regulated when it comes to its price ranges. Plus, the cost of executive coaching varies widely based on several factors. Some of which include:
The Coach’s Experience Level
Perhaps, the most critical factor when it comes to determining your executive coaching costs is the experience level of your executive coach. You’d most likely agree that the more experienced an executive coach is, the better. But, the same also applies to your executive coaching price. The more experienced an executive coach is, the more expensive your executive coaching will be.
The experience level is an important factor most companies and individuals look out for when looking for an executive coach for the leaders in their organization. You also want to know how long an executive coach has been practicing. What credentials do they have? What leaders have they worked with (especially if you need a leadership coach)? Are they ICF certified?
There are three levels of ICF certification. These are:
- The Associate Certified Coach (ACC)
- The Professional Certified Coach (PCC)
- The Master Certified Coach (MCC)
More often than not, the executive coaching price of an ICF Master Certified Coach (MCC) will be higher than that of an Associate Certified Coach (ACC) or a Professional Certified Coach (PCC). This is because to become an ICF Master Certified Coach (MCC), you need to have, at least, over 200 hours of training and well over 2,500 hours of coaching experience.
The management level of the client also determines executive coaching costs. As such, the fee for coaching services will vary according to the services provided for each level of an organization.
So, what does this mean? This simply means that executive coaches will naturally charge a higher rate per hour for clients at the top of the management level (anything from $200-500 or more), while individuals in lower levels of an organization will, most likely, pay a lesser hourly rate (between $200-$400).
Also, the hourly rate of an executive coach will increase as a company generates more revenue or as a client ascends the management ladder and higher levels of an organization and as a company’s revenues increase.
Believe it or not, location also plays a role when determining your executive coaching price. Research has found that companies or individuals that hire either career coaches or leadership coaches outside the United States tend to pay at or below US rates, with the exception of Europe.
Now, here’s how it works: the average cost of executive coaching in the US and Europe is over $500 per hour. So, if you hire an executive coach outside Europe or the US, you can expect to pay within the range of $300- $500 per hour.
The Duration and Intensity of the Executive Coaching Program
The duration and intensity of coaching programs vary according to executive coaches or coaching companies. Some executive coaches offer coaching packages that range from an hour, a day, two weeks, three months to six months. You have to also keep in mind that each program will focus on different issues with varying degrees of intensity. So, you can, most likely, expect coaching programs that last longer or are more intense to be more expensive than shorter or less intense ones. However, this does not apply to all coaching companies or programs.
Area of Specialization
Another factor that determines the cost of executive coaching is the industry of the client. Your executive coaching price may vary based on the reputation of your company or its area of specialization. For instance, companies within the energy or IT industry may be in for a higher charge than other companies in less lucrative industries. Some executive coaches may simply inflate their charges based on this factor. So, you can expect to pay well over $20,000 as executive coaching fee. Of course, the best thing to do is to scout for alternatives and compare prices before agreeing to a contract
Area of Concentration
Whether you are hiring a leadership coach or a career coach, another factor that will influence your executive coaching costs is the focus of your executive coaching. The focus of any executive coaching is determined by the plans and goals of the person being coached, and is what influences the approach or techniques used by the executive coach. Studies have found that coaches who work with the strengths of their coachees charge less because there is less motivation or push needed by the client. This means there is lesser work for the coach.
However, executive coaches who work on correcting or improving critical flaws charge more because there is, typically, a lot more work to do. Deficit coaching involves a lot of encouragement, motivation, and challenges to push the client to overcome the identified weakness. Since the coach will be putting in more efforts, the hourly rates are more expensive.
Executive coaching is a critical process that helps companies and individuals achieve goals, actualize plans, and improve performance. To get the best executive coaching, you need an executive coach that has ample experience and is highly trained, certified and professional. However, it is necessary to know the right executive coaching costs before hiring or settling for an executive coach. Remember that many factors come to play when determining the cost of executive coaching, such as:
- Area of specialization
- The experience level of the executive coach
- Area of concentration, and
- The duration and intensity of the coaching program
So, you need to be sure that you are putting in your money where it is worth it. This is why Viveka is the right platform to find the best and most experienced executive coaches at the right price. Whether you need a career coach or a leadership coach, we’ve got your back.
I will help you to get the best of your team members and make your business succeed! Through online one on one coaching I work with small business owners who want to lead their team to success without holding people’s hands so they can concentrate on business growth!