No. 5: Fear
Those who fear losing the sale and succumb to this
fear will cut the price. Fear is the most powerful pressure
point. Buyers know that salespeople fear losing the
business. Buyers make salespeople feel this pressure by
saying, “I can get this cheaper online.” Or, “This price
seems high. I will have to send this out to bid.” In any
negotiation, whoever feels the most pressure, will make
the most concessions. When salespeople feel more
pressure, they discount. When buyers feel more pressure,
price is less of an issue. If the buyer is in a hurry to buy
something, price is less of an issue. If you are the only
supplier that has the product they need, price is less of
an issue. If the buyer prefers your company, then price
is less of an issue. Experienced buyers do a better job
of concealing these pressure points, but they still are
present. The next time a buyer requests a discount, ask
yourself, “What pressure is the buyer experiencing to
purchase our solution?”
No. 6: Guilt
Some salespeople feel guilty charging higher prices
than the competition charges. These salespeople may not
see themselves paying that much for a product and feel
bad charging customers those prices. Guilt happens when
salespeople are too close to a customer. This group of
salespeople hasn’t created enough professional distance
to have the tough conversations.
No. 7: Bad attitude
Attitude drives behavior. If salespeople embrace a
negative attitude about price, they’re more likely to cut
their price. Some salespeople will tell themselves, “Price
is the only thing that sells in our industry.” Or, “I sell a
commodity and we have to match the competition.” This
negative self-talk influences selling behavior. Flush these
thoughts from your mind. Embrace a positive attitude.
Emphasize the unique aspects of your solution and
present the impact on the buyer’s business.
Salespeople are paid to sell. Anyone can cut the price;
that takes neither talent or skill, just a sharp pencil
and a calculator. The next time a buyer gives you a
price objection, hold the line. Use the objection as an
opportunity to sell your value added. Give the buyer
three reasons to choose your alternative and stand firm.
Salespeople discount for multiple reasons. But buyers
will pay more for greater value. Value-added salespeople
work hard to hold the line on prices. Buyers are prepared
to ask for a cheaper price. Be prepared to respond.
Paul Reilly is president of Reilly Sales Training.