How often do we hear it?
‘Sorry you missed out on price’ ‘We’re going with a cheaper supplier’ ‘We can’t justify the extra spend’ ‘We don’t have the budget’
But do we always go for the cheapest?
- Do we go into a real estate agent and say ‘Can we see your cheapest house?’
- Do we walk into a car showroom and say ‘Show me your cheapest car.’
- When we shop do we say ‘I’ll take your cheapest dress or suit.’
Of course we don’t.
We believe that we need to expose the pricing objection for what it is, complete bullshit! It’s a great ‘get out of jail free’ card for customers – ‘You’re too expensive’ – and your colleagues will probably say ‘unlucky’ yet in reality luck has had nothing to do with your customer’s decision.
Many salespeople fear the price discussion. Don’t fear it, welcome it. Why should you fear it if you’ve understood the needs of your customer and recommended a solution specific to those needs? And you’ve sold the benefits of your solution aimed directly at adding value to their business?
Here are some ways in which we can welcome the price discussion:
• Always recommend solutions to meet real needs. If you do this you’re already ahead of 80% of your competitors who will push product rather than bother to understand the needs of their customers.
• Sell the value of your solution. ‘You mentioned that xxx is important to you, we can help you achieve this by xxx’.
• Benefits sell, don’t push product. Your customer doesn’t care about you or your product, only what you can do for them.
• If at first you don’t succeed, try to develop you’re relationship with the customer. People will buy from people they know and trust and this can often take time. Seek ways to build your credibility.
• Seek authentic customer testimonials that focus on value.
• Build case studies that focus on the quality of your work and how you’ve added value to your customers.
Most importantly, never bring up price when you’re exploring needs. Why would you when you don’t fully understand what they need? If the customer brings it up, put it off. Don’t discuss price before you understand them or their business.
Keep control of the discussion, particularly around pricing. Only discuss it when you’re ready and after you’ve detailed the benefits of your solution relevant to their uncovered needs.
We believe the biggest challenge you will face is not giving in to the pressure to reduce your price. If you deliver first class products and services and provide first class after sales service, sell the benefits of your approach and how it will add value to their business. You might be surprised by the response you get!