Compared to What?

I’m sure it’s happened to you:

You’re talking to a prospect, everything seems to line up, they want what you have, but then comes the devastating price objection.

“I don’t have the budget”, or “It’s too expensive”.

The one thing you never want to do at this point, is lower your price. For one thing because it attacks your own self-worth – never a good idea – but also: it gives the buyer the feeling that you were asking too much to begin with. Result: broken trust, meaning the sale is much less likely to happen.

One thing you can do when a buyer objects to a price, is to increase the scope – i.e. the overall value of what you’re offering.

You can probably think of something extra you can do, give or provide, at little cost to you but of meaningful value to the buyer.

And that word – value – is key.

Because most people don’t mind paying an asking price, so long as they value the purchase high enough. Just look at Apple computers and phones – very costly, yet very popular.

So when someone says ‘too expensive’, why not ask ‘compared to what?’

Very often a buyer will walk away from a purchase, but the next day you see on Facebook that they ordered a flatscreen TV or booked a cruise. And they told you they didn’t have the money!

Well, looks like they did – except they preferred to spend it on something else – and when that happens, it means they didn’t fully internalise the value of your work.

So next time someone objects to your price, admit that your fees are not the lowest, and then move the conversation away from price, and into value.

It’s your job as a seller to figure out what someone wants, and why – and if their view is on price, it means you’ve not yet helped them see the value of your work sufficiently.

Price objections are not the end of a negotiation: they’re a new jumping-off point, where you get to focus on value.

And to do that, ask questions that help the buyer uncover their fears&frustrations, and wants&aspirations.

That way you’ll shift from price to value, and that’s how you create clients.

Cheers,

Martin


Also published on Medium.

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