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How to Handle Premature Pricing or Demo Requests

Posted by Carole Mahoney on 2/20/19 8:00 AM

So, how much does your stuff cost?

How do you handle it when your buyers ask you that question way earlier than you want to deal with it? 

 

This is very common advice that we hear from a lot of sales trainers and experts, except that research shows that buyers don't like being put off. They feel suspicious when you're not willing to answer their questions. It's kind of like when you go into a restaurant and there's no prices on it. Your first thought is, "Well, it must be really expensive if they won't tell me the price."

Don't be afraid to dive into discussing price

Rather than avoiding the price conversation, dive into it. There's a framework that you can use to do so rather than saying, "Well, it depends and it can be a range from zero to 100 million." That doesn't really answer their question.

What if you were to actually use a framework and share with them how your pricing structure is compiled?

For example, when someone asks me about pricing, I say, "It's comprised of three different components. First, it will depend on your revenue goals and when you want to achieve them by as to how aggressive a program you need to develop. Second, it will also take into account how many sales people you have or how many sales people that you wanna hire. Third, price will take into account what kind of work needs to be done with those after we do an evaluation of your team to see how much work actually needs to be done."

Benefits of talking about price early on

That helps to answer the price conversation and then also uncover why they're asking. Is it because you're trying to figure out what your budget should be? Are you comparing it to your competitors? Are you trying to keep your current vendor honest?

There's a lot of reasons why buyers ask questions up front, because before they spend any kind of time with you, they wanna know if this is something even feasible for them do. If they a 10 thousand dollar problem, but the solution costs 100 thousand dollars, well then it's really not gonna make much sense for them to dive into a solution that they can't afford.

Rather than avoiding the price conversation, handle it by sharing how your price is structured and then ask, "Can we dive into these three components so that I can give you an accurate price for what you're trying to achieve?"

Hopefully that helps you with your next pricing conversations this week and make sure you join me on our next #livesaleslab every Tuesday at noon Eastern time. 

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Topics: sales coaching, salespeople, #livesaleslab