Ideally you want to sell on value rather than price as it enables you to protect your margin. Value is the balance between the price a customer pays and the perceived benefits they receive from the purchase.
“Price is what you pay. Value is what you get”. – Warren Buffett
Firstly, you need to identify:
- What specific needs does your customer have?
- How can you help your customer meet those needs?
Based on identifying this information, consider the following tips:
- Story telling is a great way to convey facts and messages to a client in a relatable way that can resonate with them. You can talk to them about a similar problem another client had and how you solved that problem. If they are able to visualise how you are able to help them, then your chances of gaining the sale will only increase.
- Focus on solving your client’s problem, not on conveying all the features and benefits of your product/service.
- Share testimonials from current clients. Talk about the benefits they are getting. Alleviate the perceived risk of them going with you.
- Differentiate yourself from your competitors, if you can’t it will become about price.
- Don’t be afraid to educate your customer. Going that extra mile, will help alleviate future issues and make them feel they are getting more value from your offer.
- Ask the right questions to identify their wants from what they need. By getting to the bottom of what they really need, you may identify other issues which mean their wants don’t match their needs. By identifying this issue and pointing out to the client, it is an opportunity to add value!
- Price versus benefits. If they want a price reduction, then point out the level of benefits will reduce. If you readily reduce price with no loss of benefits, then you may come across as having overpriced in the first place. Give the customer different pricing bundle options.
- Don’t undersell your expertise. Promote your expertise and how it can benefit the customer.
- Deliver on what you promise, don’t oversell.
Try and avoid selling based on price as there will always be someone out there willing to price lower. Focus on selling the value of what you have to offer!