From the Peak Your Profits!® newspaper column by:
Jeff Blackman, J.D., CSP, CPAE
Business-Growth Specialist
© Blackman & Associates, LLC
If you think you’re in a commodity business, selling commodity stuff, YOU and your company are contributing to that perception, because YOU believe it.
Price ain’t the place to compete.
Don’t want to beat-you-up, just kinda shake-you-up!
Does price matter? Sure. But the greatest obstacles associated with a price, an investment or a fee, aren’t in the minds of buyers, they’re in the minds of sellers.
If you don’t believe in what you’re selling, guess what, neither will anyone else.
If you don’t think it’s worth it, whatever “it” is, you ain’t gonna convince a decision-maker. Your skepticism will be easy to sniff-out. Your hesitation will scream “buyer beware.”
You never hear a sales and marketing message that boasts:
“You’ll pay the lowest price. And our quality stinks and our service is lousy!”
Price doesn’t eliminate other buying motives. It’s merely a decision-influencer, not a decision-driver.
Do you buy, only based upon price? I doubt it.
Take a look at your stuff, personal or professional. Is your home or apartment, the cheapest one you could have bought or rented? Didn’t think so. How ‘bout your car and clothes? Are you cruising in a Yugo wearing shiny polyester? No again. Hmmm. Not surprising.
You know you’ve said to yourself at least once, “I should have spent extra bucks to avoid the headaches and hassle of dealing with those bozos!”
The adage “you get what you pay for” is false. Because, you really get more. Like: Pain. Suffering. And frustration.
If YOU don’t buy only based upon price, why convince yourself that others do. It just ain’t so. Your prospects, customers or clients want solutions, outcomes, results and improved conditions. And they know, that only happens with value. Value like; your differential competitive advantage. Your knowledge. Your expertise. Your experience.
A bargain that doesn’t deliver, just became expensive. In dollars, time and energy.
Can you negotiate? If you’d like to. Yet do it with value concessions, not just price concessions. If you think price is your only competitive factor, you’re in trouble.
When you sell, don’t fall prey to a price battle. Focus on value and cost. Meaning, what’s the cost of not using your product or service. Cost and price aren’t the same thing. It’s your responsibility to show the difference. It’s your duty to stress value, payoff and ROI.
As a simple example, every day, folks are gulping down “luxury” cups of coffee. They’re not paying for tasty black liquid, frothy white foam or fancy flavoring that ends in a vowel. They’re paying for the feeling, the emotion, the reward and the experience that complements the java. It’s just “packaged” in a cup.
Decision makers will pay a premium for value. Especially when that value enhances their lifestyle or their bottom-line. In the home, in the office, in life, in business, value rules.
Don’t find ways to drop your price. Instead, discover and promote what you currently offer or will soon offer, that can’t be found elsewhere. Stuff that impacts; service, delivery, design, implementation, training, choices, results, performance, profitability, competitive advantages, etc.
To compete effectively and profitably:
Don’t merely discount. Create differentiation.
Don’t only offer savings. Provide solutions.
Don’t simply slash prices. Solve problems.
Understanding cost and delivering value, help both you and your customers or clients prosper.
Byline: Jeff Blackman
Jeff is a Hall of Fame speaker, best selling author, success coach, broadcaster and lawyer. His clients call him a “business-growth specialist.” If you hire speakers, please contact Sheryl Kantor at: 847.998.0688 or [email protected]. And visit jeffblackman.com to learn more about his other business-growth tools and to subscribe to Jeff’s FREE e-letter, The Results Report . Jeff’s books include; Stop Whining! Start Selling!, (an Amazon Bestseller), and the revised 5th edition of the bestselling Peak Your Profits. You can also stay connected with Jeff via Facebook, LinkedIn and Twitter: @BlackmanResults