First of all, it’s important to note that one of the best ways to screen a client is when he or she complains about the price. At this point, you can deduce if the client or prospect is right for you or not.
So what do you do when clients push back on your fees or ask for an offer? How do you respond to such discount requests and still close the deal or sale?
The simple answer is to focus on your value. It is corny but true. If it is worth it to the client they will pay for it. But when faced with price push-back or offer request, many are at a loss for what to do at that moment.
Here are 2 rules to follow, the next time a client puts the price pressure on you:
- Do not go into reverse: Clients are always tempted to backtrack when the buyer says, “But I can get it from another provider at a lower price.” At this point, many sellers give the indication that they are willing to negotiate prices (And that is very wrong, don’t ever do that).
Instead, acknowledge that other sellers prices are indeed low yes! and leave it there. When you do that, you are saying, “I acknowledge other providers prices are lower than mine, but my fee is my fee and this is why”, then you hammer on the value you are providing for the buyer. Sometimes buyers might walk and that is a risk that usually happens. Many times and most times, however, you will simply set the foundation for continuing the sales process at your preferred fee level.
Note: Buyers will always respect you for standing your ground and providing value. Be more focused on providing value genuinely for the buyer. When you do this, it would be recognised and you will close more sales than no sale.
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- Never ever dismiss the buyer when they push back: I often hear this comment: “If they push back on price, we don’t want them! Pushing back on price is an indicator that a client will be high maintenance or worse, down the road.” Perhaps this may not be the case from experience.
Buyers often challenge prices in multiple ways. Just because they challenge you does not mean they are bad clients, or they don’t want to buy. It also does not mean they are challenging your value personally. No! In fact, most times, the challenge usually stems from bad experiences, so don’t blame them.
Hold your ground and treat them reasonably in the process, and oftentimes, they will just come around, because you’ve been real to them.
Clients will end up paying for your products if they see you offer more value than the other options. Moreover, as much as you might scorn the thoughts, buyers will continue to pressure price, and salespeople will continue to discount to win business.
Please, please, follow these two guidelines when you get the “Price Pressure”, you will find yourself winning more deals at your asking price.
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