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A sales rep called me the other day. I asked the price of what he had (before he was ready to give it). He hemmed and hawed, then said, "Well, it's normally ...", which begged the question from me, "Ok, how much lower are you going to give it to me for?" Perfect. Now I had him in a price-dropping mode. Saying, "We normally charge ...", or, "The list price is...", ...implies you don't usually get that price, or you're very open to begin negotiating. Instead, confidently and smoothly state the price. Work from a position of strength. Give the impression from the start that you don’t negotiate. Then you might not have to. Don’t say anything early that tips them off that you would negotiate. When asked your price, again, answer clearly and confidently, "The price is ..." After giving your price, clam up. Don’t say a word after giving your price. Some reps become uneasy at this point and blow it by saying, "...if that’s OK with you," or, "Do you have a problem with that?", or, "I might be able to do better than that." When you’re silent it might seem like forever, but sit still and silent. Sure, they might respond, "Is that negotiable," or, "Can you do better than that?" Then, reply with some version of "no." Such as, "That is the price." Quite often I say, "Well, what can we take out?" Perhaps you have this option: “We do have a lower price at a higher quantity if you'd like to do that." Often, you might be surprised to hear the satisfying, "OK, I just had to ask." And when you're on a sales call and the price question comes too soon, reply with, “I want to give you the best price for the package that best fits your situation. Let me ask you more questions to do that..." The first step in dealing with price is ensuring YOU personally are first sold on the fact you deliver value far exceeding your price. Since I would assume that you now probably have customers, it's safe to say you DO give such value. But again, YOU must be sold on that. Remember, every dollar you give away by dropping price come from pure PROFIT. Focus on selling value. Go and have your best week ever!
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