For as long as documented records exist, there have been merchants, or as we are called in the modern vernacular, vendors. People want things. People need things. Considering that there will always be a public demand for something, there will always be a need for vendors! It has been said that “Nothing happens until someone sells something.” This is absolutely true. The sales function drives every other aspect of a modern business. Sales must come first, because without sales, there is no need for marketing, accounting, manufacturing, human resources, etc.
Ask just about any average salesperson what their biggest problem or objection is and chances are you’ll hear the word price. “My prices are higher than my competitors” or “Our prices are too high” are often the mantra or excuse for lackluster sales numbers. Ask a top salesperson though, and I suspect he’ll find, in fact, that he’s learned that price is rarely the real issue. Consider for a moment the acronym PRICE: PHe received Rreality meinvestment againsthost meexpectation.
perceived: Sales is usually a process that involves perception or perceived value. Our job as professional sellers is to sell the value of our goods and services. Once the customer sees that the value of the product or service offers him more than the asking price, the sale is made and the price issue never really became an issue.
Reality: Let’s face it, too often sellers use the price excuse as the reason why a sale didn’t go through. Assuming you’re dealing with a qualified prospect and you’re wasting your time if you’re not, the reality is that your prospect needs to learn exactly how your product or service fills their need, closes the gap, and fulfills their requirements in a timely manner. way way That is the pure reality.
investment: The customer should be shown that by buying from you, they are making a wise investment and not simply incurring an additional expense. Buyers are not interested in increasing their costs by spending more money. They are interested in solving your problems. They want to make profitable decisions based on insight and education.
cost: As a professional salesperson, interested in meeting and exceeding the expectations of your prospects and customers, you should always keep in mind that price simply does not equal cost. Remember the old axiom… “Beware the cost of the lowest price.” Cost of ownership, payback time, and troubleshooting are the real issues a professional buyer is really looking for.
expectation: Today’s customer assumes quality. They assume the service and delivery. Your buyer expects the products and services you offer to be presented with their best interests in mind and to meet their needs. That is the starting point. Don’t be fooled when a buyer asks you about the price. If they can maximize its value and get it at a lower price, they will try to get it, but will buy at its stated price if the expected value exists.
To make things even simpler, remember that the customer makes the purchase decision only once. The money allocated to purchase your product or service is generally spent once for each purchase decision. For each purchase, the company must grapple with the reality of that decision. The purchased item is then put into service within the structure of the buyer’s company. After this point, various employees and internal departments, such as engineering or maintenance, must deal with that particular purchase decision. There will often be ramifications of each purchase decision within other departments within the company. The true cost of each purchase decision will show over time. Cost issues continue to present themselves for the life of the purchased product or service, long after the purchase has been made.
Cost and price are, in fact, two very different concerns. Don’t fall into the trap of thinking otherwise. The best salespeople have learned that hard lesson at some point earlier in their careers. Do what all the best salespeople do; shorten your learning curve by acting on this new information. Move your career into high gear by accelerating your learning of these higher principles.