So many of our blog posts and discussions are fruits derived from working through situations with sales teams in sales meetings and training sessions. I’ve written about plenty of my own selling successes and hard lessons learned but I am always in discovery mode looking for better ways to connect with clients, more effective ways to communicate and compel customers.
Last week, in a sales meeting, one of the team members brought up how difficult it was to make headway with prospective customers when they push back immediately about price. “That’s the first thing they bring up, ‘You’re too expensive.’”
While we’re not going to go into the issue of being known for a higher price point, what came out of this conversation was a fantastic way to push back on the price conversation to get to value.
When your prospect wants to pick you apart on price, use this question to direct the conversation to your value:
“Why do you think other customers are willing to invest in our product?”
“Why do you think so many of your colleagues choose us over a cheaper option?”
The idea is to make the buyer pause and truly think about your value – not about price, but about what they forgo in value for the lower price. After you ask the question, ZIP IT. Let them be the first to respond – perhaps even struggle for a minute before they say, “I don’t know, you tell me.”
What happens here is that you’ve paused the conversation, stalled it – from being a “defensive” conversation in which you try to defend your position on price or (Don’t DO IT) – start to cave and suggest there could be some wiggle room in your price.
You transition from being on defense to being invited to illustrate what others find valuable about your product, solution, or service.
You then have the opportunity to say,
“Here’s what our customers have said when we asked them why they chose us . . . “
Then you can introduce examples of current customers, testimonials – all 3rd party validation of customers that value you over cheaper prices.
If your prospect is absolutely, positively, ONLY going to choose the lowest price option, you’ll know it here in this conversation. They won’t budge.
However, if there is an opportunity to earn their business, you can follow up with this question,
“Which of these value points is most important to you?”
Try these questions the next time you encounter a prospective customer that’s dialed in on price. If they invite you to talk about why others find value with you there is an opportunity that you can move them to consider your business solution in the context of their peers.
Be prepared for this push back. Ask your current customers –
“Why they choose you compared to lower-priced options?” and
“What do you specifically value about what we do for you?”
Use your customers’ own words to help convince prospects. It’s much harder to dispute their peer’s reasons for not choosing the lowest price option instead of your rationale.
Don’t go into price discussions without being prepared to turn the conversation to value.
Until next time, stop hoping, start SELLING!