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The "Your Price is too High" Objection

What a day, last 72 hours of the month, and we get hit with a killer snow storm in New Jersey.  What gives with the naming of winter storms? It's just more media hype right?

 

I though I would write a little about what happened to one of our new reps the other day.

 

While at the customers office the rep called in for the manager and it just so happened that I was in my managers office at the time.  

 

To keep it short and simple the customer had stated that the service/supply pricing was to high. Our rep wanted to know if discounting was an option.  Of course discounting is an option if you're willing to pay for it.  

 

I've been in this situation before and there are a number of ways to handle this. Probably the best way to handle it is reiterate your value points for service first. Backing up to your service value points may turn the tide in your favor.  

 

Another phrase to use can be "compared to what?", this question may tell me that they are comparing our service price to a competitors.  The statement of "the price to high" is an objection.  You then need to smoke out the objection so you can get the chance to secure the order.

 

For those of us that have been around the block a few times, we know that we can also provide this "if I can save you an additional 5% can we write the order today?"  Typical close to tie them to an answer right?

 

There are some that don't like this method and others who say it's outdated.  But, when a prospect makes the statement of "the price is to high", we need to find out why or we'll never get the order.  

 

In this particular scenario (mind you this is a segment 2 system), I would have went back to the value points and it that didn't work I would have used the close to lower the cost if we can do business today.  I was told that the rep used this and the answer from the prospect was, "well, I need to review the pricing" and there was no order signed.

 

My thoughts, when a prospect shoots me the line, "well, I need to review the pricing", will get an immediate "what pricing are you referring to?"

 

Short and simple,  the prospect smoked the inexperienced rep.  But, sales is a learning process especially when you're in a one on one.  The rep will learn just like we all learned by taking our lumps here and there.

 

The objection is still there and I would bet dollars to doughnuts that the prospect is not comfortable with the support side of the transaction. I just wish I could have been there to hekp.

 

-=Good Selling=-

 

 

 

 

 

 

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