What’s Transformational Coaching and Transactional Coaching?

The path of enduring personal and professional growth has led many to seek out transformational coaching. This form of coaching, used in many coaches niches, is rapidly gaining popularity in Canada and the United States as a blooming industry.

My article will dive deep into the essentials of being a transformational coach, providing insights and practical advice for launching a coaching enterprise.

Defining Transformational Coaching Transformational coaching is a form of coaching that focuses on deep self reflection, self responsibility and self-discovery. It’s anchored in the concept of self-mastery (aka self-actualization), a principle highlighted by Psychologist Abraham Maslow, which emphasizes the intrinsic human drive in all of us to realize our full potential.

A transformational coaching style will guide clients through reflecting on their personal challenges, values, strengths, and motivations, paving the way for self-actualization, change and sustained achievement. These coaching sessions can be individual or in small groups, spanning multiple interactions.

Common Areas of Focus in Transformational Coaching:

  • Personal Development

  • Financial Mastery

  • Health and Wellness

  • Business Growth

  • Relationship Building

Transformational Coaching Compared to Transactional Coaching:

While transactional coaching is more ‘action-oriented,’ focusing on specific achievements like securing a new job or paying off debts, transformational coaching is about becoming the person you need to be to achieve, centering on personal growth.

In this approach, achieving goals like debt reduction is just a part of the process to becoming the best version of you. The primary aim is to foster a healthier relationship with various aspects of life, including finances. This coaching style emphasizes evolving as a person beyond the immediate objectives.

In summary, transformational coaching is about guiding clients to become their best selves, looking beyond just the goals or achievements they seek to accomplish.

Key Differences Between Transformational and Transactional Coaching:

  • Transformational: Person-centric, long-term personal and life growth.

  • Transactional: Performance-centric, focused on immediate goals and achievements.

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Spencer Williams, founder of Scale Selling & Williams Wealth Creation, accepted into Forbes Business Council