Are you always asked to lower your price? Does every prospect start to negotiate with you? Most sales people would answer with a very definitive yes!
Of course we all face this! The reason is that consumers and buyers are trained to ask for a lower price, no matter what. Think about it. Would you walk into a car dealership and pay the price listed on the windshield? Probably not. Don’t be surprised if you are asked to negotiate to a lower price, expect it. What you can do, however, is change the way you handle it. You do not have to lower your price if you follow some basic principals.
First, how you tell your prospect the price of your product or service can invite price negotiation. For example, if you add descriptive words like “the suggested price is”, “the quoted price is” or “the usual price is” you are doing nothing more than telling your prospect that there is more than one price for the same product. Not only will he ask for a better price, he will negotiate hard to receive it because you told him it exists!
Secondly, you must be comfortable saying your price. If you get nervous right before you tell your prospect the price, or if you say something like “and now for the hard part” or “it’s a good thing you are sitting down”, you are telling the prospect that you also think the price for your product is too high.
Do not use any descriptive words when telling your prospect the price. Simply state “the price is” like you would state that the sun rises in the east every morning. This informs the customer that the price will not be changed and that this is what other customers have paid. Rehearse saying the price of your product before hand so that you are completely comfortable saying it. The more you rehearse, the more your prospect will accept your price statement as fact, as opposed to something which can be negotiated.
Lastly, when asked to lower your price, just say no! Right now you are thinking, “But my prospects always tell me they can get the same product from my competitor at a lower price!”
If this were really true, the prospect would not take the time to negotiate a better price with you. He would have already bought the product from your competitor! Be it because of your service, delivery, or a specific product feature, the prospect sees you as different, and he wants to buy from you. He is just negotiating because he has been trained to do so.
Everyone wants the cheapest price, but the cheapest price for what they want. If you truly have the product the prospect wants, you don’t have to lower your price. You can just say no!
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