What To Do When A Prospect Says,
"Your Price Is Too High."
By Glenn Fallavollita, CEO – SellMorePayroll.com | Author | Keynote Speaker
- Word Count: 500
- Time To Read: 2.0 Minutes [Based on 250 Per Minute]
You know the scenario: A salesperson is talking with a prospect and early on in the conversation they ask, "So tell me, what is your price?" Most salespeople don't skip a beat and answer the question by saying, "The price would be X dollars." The next thing the buyer says to the salesperson is, "Your price is too high."
Most Salespeople Will Offer An Immediate Discount.
It has been my experience that when a salesperson is told that their price is too high, they immediately lower their price to make the sale. Unfortunately, when you sell on price you lose on price. But what does the customer really mean when they are saying your "your prices are too high?"
Does The Prospect Mean This?
- Someone else has a lower price.
- They do not see the immediate value (value = the benefit, minus the cost).
- They do not think that the process of changing/switching/buying from you is worth the risk; therefore, they want a lower price from you.
To help you and your salespeople get to the real issue behind the "your price is too high" reply, you need to ask the prospect more questions to determine where they are coming from, what their needs are and possible challenges they are having with their current source.
To help you do this, I recommend taking a more proactive approach to this question by writing down a list of objections and the appropriate reply(ies) immediately after reading this e-tip. Once you have done this, schedule a time when you can train your salespeople on each objection/reply.
Before Probing For The Real Issue, Ask This Question.
Before probing into the real issues, when a prospect says, "Your price is too high." I recommend asking, “As compared to what?" That is right; ask the question, "As compared to what?"
The key is to STOP TALKING after you ask a prospect this question. And just as important it is to ask this question, watch their body language, how they move their eyes or their inflection in their voice. These things will tell you a lot. Remember, when a prospect objects, you do not need to respond. It is OK to ask a question to clarify where they are coming from.
One Last Point:
If you lead with the features of your product or service instead of its benefits, the primary objection from a prospect will be your price. As obvious as this may sound, many salespeople talk about the features of what they are selling vs. the benefits.
Executive Summary: For most people reading this e-tip, their prospects have a number of options to buy what they sell. You need to know that in the absence of value, a prospect will actively seek another option/supplier/provider. Do not give them a reason to do that. Sell on value and not on price. Additionally, do not forget to ask the question, "As compared to what?" after they tell you that your prices are too high.
About The Author
Glenn Fallavollita is the President of SellMorePayroll.com, a Division of Drip Marketing, Inc. He founded Drip Marketing, Inc. in 2002, and serves as CEO, lead copywriter and strategist. He is also instrumental in developing the curriculum, format and expansion of Drip University - the training arm of Drip Marketing, Inc. and SellMorePayroll.com. His work, insight and creative talent has been the catalyst for the delivery of more than 35 million e-mail campaigns on behalf of his clients.
To learn how we can help your payroll service increase its sales with our payroll marketing system, visit us on the web at www.SellMorePayroll.com or call us directly at (856) 401-9577.
