"When do you bring up pricing in the sales process?" Tim in Idaho
Tim when to bring up pricing is a great question with a dynamic answer with many variables. I will try to keep my answer short. My first variable is how much does your product cost? What is your company's pricing strategy (low cost, market price, high cost)? How long is your sales cycle (days or years)?
I am going to start with some of two of my pricing philosophy. First, if you think your product is too expensive change your mindset. It is hard for you to sell the price if you don't believe in it. Second, until your client understands your product pricing is irrelevant. If I called you and told you I house for sale for $500,000, you have no idea if this is a great deal or a bad deal because you do know about the house. Second, when I told you the house cost $500,000 you have a picture of what house for $500,000 and you will make the comparison versus being open to learning about the new house.
Once the prospect has a base understanding of my solutions I bring up budgetary pricing early in the sales cycle. My reason is to use price as a qualifier and, if possible, I like to bring up pricing first. If the prospect can not afford my solution, in a nice way, I do not want to spend a lot of time with him. Once I have established we are in range of the prospects budget, I then focus on my solution and will readdress pricing towards the end of the sales cycle. I personally do not sell price, I sell value.
Pricing is major part of selling, I welcome reader feedback and more pricing questions.
Tim, good selling!
Reader Feedback, please click the comments below to give 'Tim' additional information on 'When to bring up pricing' and I want your feedback on my response. Shaun P
Tim when to bring up pricing is a great question with a dynamic answer with many variables. I will try to keep my answer short. My first variable is how much does your product cost? What is your company's pricing strategy (low cost, market price, high cost)? How long is your sales cycle (days or years)?
I am going to start with some of two of my pricing philosophy. First, if you think your product is too expensive change your mindset. It is hard for you to sell the price if you don't believe in it. Second, until your client understands your product pricing is irrelevant. If I called you and told you I house for sale for $500,000, you have no idea if this is a great deal or a bad deal because you do know about the house. Second, when I told you the house cost $500,000 you have a picture of what house for $500,000 and you will make the comparison versus being open to learning about the new house.
Once the prospect has a base understanding of my solutions I bring up budgetary pricing early in the sales cycle. My reason is to use price as a qualifier and, if possible, I like to bring up pricing first. If the prospect can not afford my solution, in a nice way, I do not want to spend a lot of time with him. Once I have established we are in range of the prospects budget, I then focus on my solution and will readdress pricing towards the end of the sales cycle. I personally do not sell price, I sell value.
Pricing is major part of selling, I welcome reader feedback and more pricing questions.
Tim, good selling!
Reader Feedback, please click the comments below to give 'Tim' additional information on 'When to bring up pricing' and I want your feedback on my response. Shaun P
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