Have you found yourself frustrated by customers who seem to be shopping for the lowest price? Does the term “bottom feeder” sometimes feel like an apt description for those who take the lowest price regardless of what services you provide?
Take a deep breath.
Price is not usually the real issue
Experience has taught me that in most cases pricing isn’t the real issue. I have found that customers do appreciate the extras, like service, and when discussing price really may be asking, “Show me the value.”
Value is the real issue
Here’s an example:
When one of our sales reps found himself exasperated with a particular purchasing agent that continually shopped for the lowest price, he changed the conversation by getting more closely involved with the company’s operational management. With knowledge of the company’s operations, he was able to determine how to provide more added values.
Our rep also asked the customer’s construction contractor questions about his top clients and followed up by having a couple of his existing customers call the contractor for bids. Before he knew it, his customer was enjoying new business and was more than happy to influence the purchasing agent, which gave our company a more favorable price position.
3 Ways to Demonstrate Value in your Product and Relationship
- Help your customer find new business
- Review their internal problems with them (if possible)
- Introduce your client to new vendors
There are other ways in addition to the above, but getting involved with your customer in a meaningful way can be a solution to resolving pricing issues. Added value techniques like these also provide subconscious connections that strengthen your customer relationships and help keep your competitors out. Using these skills even has the potential of building your network of leads.
The greatest benefit to you and your company, however, is knowing that you are a valued part of your customer’s business, not just a person with a product and a price.